Victoria Beckham has reversed the decision to use a government scheme to furlough staff at her label.
Last month, the fashion designer was heavily criticised when she and board members moved to furlough 30 of her 120 staff for at least two months, which would have cost around $188,000 (£150,000) in government funds.
Victoria, who has a net worth of $420 million (£335 million), has now had a change of heart, and in a statement on Thursday, announced that the application to the government scheme will now be withdrawn and all employees will be restored to their roles.
“We will not now be drawing on the government furlough scheme,” the 46-year-old told British newspaper The Guardian. “At the beginning of the lockdown, the shareholders agreed with senior management to furlough a small proportion of staff. At that point, we didn’t know how long the lockdown might last or its likely impact on the business.
“The welfare of my team and our business means everything to me.”
A spokesperson for the Victoria Beckham label added that after the company was forced to go into lockdown “overnight” back in March, decisions were made to “try and protect our staff”.
“We’ve now reconsidered and we accept there’s a better way forward for our business. These are tough times and tough decisions and we don’t always get it right – all we can say is we are trying to protect our business and our staff,” they commented.
The fashion brand has seen unprecedented online sales since the beginning of the coronavirus pandemic, with the Italian factories that produce the Victoria Beckham garments set to reopen on 11 May.
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