Burberry, the brand best known for its iconic checkered pattern and fashionable trench coat, announced Wednesday that it may cut around 1,700 jobs worldwide in a major cost-reducing effort. The news comes as British luxury brand reported a staggering 117% drop in annual profits, or around $87.8M (£66m), over the last financial year. 

Burberry employed about 9,300 people across the world last year, meaning the cuts could take out about 20% of the brand’s workforce. 

In a statement on the company’s website, CEO Joshua Schulman said Burberry is not looking to make any major store closures, and explained that the cuts will primarily come from the group’s head offices and the reorganization of in-store duties. It will also drop the entire nighttime shift at its trench coat factory in Castleford.

“For a long time we have had overcapacity at that facility, and that is simply not sustainable,” Schulman said........

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