Luxury goods firms Chanel, Gucci’s parent Kering and Louis Vuitton’s owner LVMH, pledged to pay staff themselves
Two of the world’s biggest luxury goods groups will no longer use taxpayers’ money to fight the coronavirus outbreak.
Pressure is building on British firms after French rivals, including Chanel, Gucci’s parent Kering and Louis Vuitton’s owner LVMH, pledged to pay staff themselves.
France has a scheme where its government can pay wages to prevent mass lay-offs. Kering and LVMH, which are controlled by the richest and third-richest men in the country respectively, began to put staff on furlough before performing a u-turn.
Jenny Urbina, a French trade unionist, said: ‘We thought that it was scandalous LVMH wanted help.
‘Those programmes are supposed to help fragile companies and workers who really need it.’
In the UK, billionaire Sir Philip Green has shut 550 outlets in his Arcadia retail empire and asked the Government to pay 80 per cent of his staff’s wages.
And Richard Branson has been criticised for pushing for a Government bailout worth £7.5billion.
He has suspended staff wages for two months.