Burberry boss paid £400,000 to move house after sacking 1,700 staff
Burberry's new chief executive has been handed a £380,000 allowance to help fund his move from New York to London.
Joshua Schulman was given the perk as part of his joining package last July, when he was parachuted in to help revive the ailing luxury fashion retailer's fortunes.
This included £135,000 for temporary accommodation and £120,000 for 'home search assistance and transportation of goods'.
He was also given access to a monthly £25,000 housing allowance that he can draw upon for 18 months. Five months of the allowance have already been used, according to company filings, amounting to £125,000.
Since taking over at Burberry, Mr Schulman has been tasked with spearheading a radical turnaround aimed at restoring profits.
This led to him unveiling plans earlier this month to cut around 1,700 jobs, accounting for 20pc of the company's global workforce.
Burberry's annual report shows its workforce has already been shrinking. Over the last financial year it fell from 9,336 to 8,459.
The Telegraph revealed in July that the business was preparing to sack hundreds of staff across its UK offices.
As well as receiving a lucrative housing allowance, Mr Schulman has also been handed a £1.2m annual salary. In total, he received £2.56m during his first nine months in the job.
He is not alone in receiving a relocation allowance after being appointed as chief executive of a London-listed company. Luis Gallego, chief executive of British Airways owner International Airlines Group, was previously given £500,000 to help him pay for his homes in Madrid and London.
Trade war hits sales
Mr Schulman's turnaround plan, which has been dubbed Burberry Forward, aims to focus the high-end brand on the 'spirit of Britain'.
He said late last year that he would revive Burberry, which was founded in 1856, by emphasising its 'quintessentially British' heritage.
However, Donald Trump's trade war and a slowdown in China have dampened sales in recent months, with Burberry sinking to a £66m loss in the year to April from revenues of £2.4bn.
Following the results in May, Mr Schulman said: 'While we are operating against a difficult macroeconomic backdrop and are still in the early stages of our turnaround, I am more optimistic than ever that Burberry's best days are ahead and that we will deliver sustainable profitable growth over time.'
Optimism surrounding Mr Shulman's turnaround plan has lifted Burberry's share price by 13c over the past six months, giving the company a market cap of £3.7bn.
Burberry was contacted for comment.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
BBC News
15 minutes ago
- BBC News
Mole Valley District Council assets strategy to be considered
A group of Surrey councillors will be asked to approve a management strategy for land and buildings assets worth more than £200m in the coming Valley District Council owns or leases more than 250 assets as of 2023/24, generating £7.4m of income each year that it says is vital to service delivery.A report set to be considered at scrutiny and cabinet meetings on Tuesday and on 17 June, recommends councillors approve an asset management strategy for the next five years. Dorking and Leatherhead Leisure centres, Dorking Halls, Pippbrook House, and the Meadowbank Football Ground all feature among the assets. Part of the strategy centres around making informed decisions to maximise future income potential, whether through targeted investment or potential the financial aspect, the council said the assets were central to its aim of providing green and open spaces across the said the local economy was also boosted by crowd-drawing assets such as Dorking Halls and Deepdene Keira Vyvyan-Robinson, cabinet member for commercial assets and property, said the effective management of these assets was vital to supporting the "delivery of services that our residents and businesses reply upon".
South Wales Argus
16 minutes ago
- South Wales Argus
Trade Secretary to meet US counterpart in bid to secure steel tariff exemption
The meeting will come after Mr Trump said he was doubling tariffs on imports of steel from 25% to 50%. The UK struck a deal with Washington for import taxes on its steel to be removed weeks ago, but its implementation has not been finalised. Trade officials and negotiators are planning to speak to the US as soon as they can to understand the implications of Mr Trump's latest steel tariffs. They want to secure a timeline for the UK-US deal to be implemented as quickly as possible in the coming weeks. Jonathan Reynolds will meet US trade representative Jamieson Greer to discuss timings for the deal to be in place when both attend the OECD (Organisation for Economic Co-operation and Development) meeting in Paris next week. Earlier this week, a federal court blocked many of the sweeping Trump tariffs imposed on imports from countries around the world, but left some in place, including those on foreign steel and aluminium. On Thursday, a federal appeals court said it was allowing Mr Trump to continue collecting import taxes for now. On Friday, Mr Trump announced he would double the tariff rate on steel to 50%, starting on June 4. A Government spokesperson said: 'The UK was the first country to secure a trade deal with the US earlier this month and we remain committed to protecting British business and jobs across key sectors, including steel. 'We are engaging with the US on the implications of the latest tariff announcement and to provide clarity for industry.' The agreement, known as the economic prosperity deal, is expected to be presented to Parliament before it comes into force.
Powys County Times
18 minutes ago
- Powys County Times
Trade Secretary to meet US counterpart in bid to secure steel tariff exemption
The Trade Secretary will meet his US counterpart next week as the UK seeks to set a timeline for its exemption from US President Donald Trump's steel tariffs. The meeting will come after Mr Trump said he was doubling tariffs on imports of steel from 25% to 50%. The UK struck a deal with Washington for import taxes on its steel to be removed weeks ago, but its implementation has not been finalised. Trade officials and negotiators are planning to speak to the US as soon as they can to understand the implications of Mr Trump's latest steel tariffs. They want to secure a timeline for the UK-US deal to be implemented as quickly as possible in the coming weeks. Jonathan Reynolds will meet US trade representative Jamieson Greer to discuss timings for the deal to be in place when both attend the OECD (Organisation for Economic Co-operation and Development) meeting in Paris next week. Earlier this week, a federal court blocked many of the sweeping Trump tariffs imposed on imports from countries around the world, but left some in place, including those on foreign steel and aluminium. On Thursday, a federal appeals court said it was allowing Mr Trump to continue collecting import taxes for now. On Friday, Mr Trump announced he would double the tariff rate on steel to 50%, starting on June 4. A Government spokesperson said: 'The UK was the first country to secure a trade deal with the US earlier this month and we remain committed to protecting British business and jobs across key sectors, including steel. 'We are engaging with the US on the implications of the latest tariff announcement and to provide clarity for industry.'
