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Germany: Popular fashion chain disappears from market, all branches will close

Orsay
Popular fashion brand Orsays closes all stores in Germany.

German news. Orsays closes stores in Germany. One of the most popular fashion chains will disappear from the German market with its branches soon to be closed.

Orsay has been in crisis for some time and should follow Espirit, Galeria Karstadt Kaufhof and Sinn as the next fashion giants to go through a protective sheild procedure.

Orsay CEO, Sascha Bopp, confirmed at the end of 2021 that the procedure had been opened due to the threat of insolvency in the first quarter of next year, the group felt compelled to take this step.

Soon after the decision, management informed the employees in the respective branches and head office about the step.

According to chip.de, Germany has a total of 197 of the 708 branches worldwide, in which about 1,200 employees work. Overall, around 40 percent of the fashion chain’s sales come from the German GmbH.

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All branches will face closure by end of June and all employees, as a result, will lose their jobs.

The main reasons for closing down all the stress was unsurprisingly the consequences of Corona lockdown and the federal emergency brake. Also, price increases for logistics and material.