Versace To Cut 350 Jobs: Report

Versace will cut 350 jobs, or 25 percent of its workforce according to Wednesday's WWD report. The decision was made by Gian Giacomo Ferraris, CEO of Versace SpA, who hopes to reorganize the company and regain profits by 2011.

The cuts will primarily effect the Milan headquarters, the Burago factory and the ready-to-wear plant in Novara and will be in place by next March. Ferraris also wants to create a lower, competitive price point:

"We can't just offer caviar. If today's starting price for a bag is $2,900, we should also sell one for $1,700," he said.

However, he insisted he had no say in Donatella's creative process.

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Comments

[Pema]

12:41 PM on 11/02/2009

a 1700 purse....thats the discount one.

[wcindy]

08:57 AM on 11/01/2009

I know this isn't a post about her looks, but it is hard to fathom that some celebrities (like her) can't see how jacked up they look from all of the plastic surgery. She looks like something out of a Batman movie. She looks...disturbing.

[rbryanh]

01:27 AM on 11/01/2009

I mistook Ms. Versace for someone's Halloween costume.

[verycold]

10:21 PM on 10/31/2009

The truth is it was all those filthy rich folks that are daily being bashed that bought their stuff and kept them living the high life. There is a cost associated with clobbering the rich. Nobody poor ever gave me a job. Maybe not PC, but factual.

[NevaforLeadership]

08:39 AM on 11/02/2009

So true.

What is more her family created the Versace fashion empire, so nobody gave them jobs either. They created their own, and, along with the peripheral industries, they have kept hundreds of thousands in jobs.

There will always be inequality in the job market, because some are just smarter and more courageous (willing to take risks) than others. They will always be the leaders; the others, the workers and the followers. There will always be rich and poor -- The USSR and Eastern Bloc countries couldn't even stamp that out during their failed experiment with socialism.

The great thing is that people in the US are free to choose the groups to which they belong: self-employed or employed; leader or follower, rich or poor.

[bikerdude]

09:12 AM on 10/31/2009

That poor woman. She looks like the guy who used to drive the garbage truck in our neighborhood...

[Bafun]

06:15 PM on 11/01/2009

unfortunately he has her look but not her money

[nobolojo]

07:14 PM on 10/30/2009

Oh yes!!! A $1700.00 bag is JUST what I've been waiting for!!!

[AlligatorShuz]

03:34 PM on 10/30/2009

Gucci cut it prices earlier this year on their merchandise also..

[jennylynn]

02:18 PM on 10/30/2009

BO won't bail her out?

[katieandtom]

02:52 PM on 10/30/2009

haha, isnt that true?!!