Layoffs Hit Gymshark, 65 Positions Eliminated at North American Office
The U.K.-based athleticwear company has laid off employees in its Denver office
Gymshark is restructuring its U.S. presence, laying off 65 employees from its Denver office.
The U.K.-based athleticwear company says the move is meant to centralize its operations and safeguard the future of the business.
Henry Spear, President of Gymshark’s North America presence, confirmed on LinkedIn that the tough decision has impacted his position and the majority of the U.S. office and cited the looming global recession.
Spear confirmed his last day at Gymshark is scheduled in March.
“While a layoff may not immediately read successful, I’m happy to say it was just that: a success. I hired a smart, high-functioning team and together we started a new business unit, opened new channels of distribution, saw strong, profitable growth, and ultimately had fun while doing it,” Spear wrote, reflecting on his time at Gymshark.
While the specific roles impacted by Gymshark layoffs have not been officially disclosed, one now-former employee stated that their role, along with 64 others, was eliminated, writing that the recent headcount reduction has impacted 70% of Gymshark.
It appears that roles in marketing, human resources, customer support management, and learning and development have been eliminated with the recent Gymshark layoffs.
Aside from the layoffs at Gymshark, the athleticwear company recently named Laurent Madelaine as its first-ever supply chain chief. Madelaine, a former Lacoste EVP of Operations, will oversee sourcing, quality, and sustainability at the brand, as he reports directly to Ben Francis, founder and CEO of Gymshark. Last September, the brand added Mat Dunn as its new CFO to its team.
The brand has harnessed the power of social media and influencer marketing to spread its reach and athleticwear awareness, which Gymshark has credited to its success.
The fitness apparel company also opened its first retail location in London last year, centered on experiential experiences. The Regent Street location, home to many flagship stores and international brands, enjoys 84,000,000 visitors per year.
Gymshark hit unicorn status in 2021 with a $1.3 billion valuation, and while there had been a buzz of a possible IPO, Francis has been outspoken on the matter. He told Retail Gazette last fall that the brand has a lot on its plate and he isn’t looking to embark on an IPO any time soon.
According to a recent Rakuten study that analyzed Google searches from the past 12 months of sportswear brands, Gymshark resulted in 902,000 searches. Nike was awarded the most-searched brand at 6.6 million searches a month.
