IKKS Enters Judicial Recovery, Threatening Over 1,000 Jobs Amid Fashion Industry Struggles

On October 3, 2025, the chic urban fashion brand IKKS was placed in judicial recovery by the Paris Economic Activities Tribunal, putting more than 1,000 employees at risk. The procedure affects IKKS France, the group's central entity, while its Spanish and Belgian branches remain unaffected. This judicial recovery initiates an observation period set to last until April 2026.

IKKS has faced multiple challenges over recent years, notably the COVID-19 pandemic, which altered consumer behaviors and increased demand for second-hand clothing in the junior segment. Additionally, the ongoing war in Ukraine severely disrupted supply chains, as Ukraine provided about 12% of the brand’s supplies before the conflict. These hardships complicate the company’s efforts to stabilize.

Founded in 1987 in Maine-et-Loire and owned by Avenue Capital Group, IKKS operates some 600 stores globally with an approximate workforce of 1,500 employees. Earlier this year, in February 2024, the company rolled out a job protection plan initially proposing 202 job cuts in France but ultimately reduced to 140 after employee reclassifications. A financial injection of €30 million was allocated to revive profitability amid mounting economic pressures.

The judicial recovery of IKKS comes against a challenging backdrop for French fashion companies, many of which are grappling with protracted difficulties fueled by the pandemic’s aftermath, inflation, rising costs of energy and raw materials, and fierce competition from second-hand and fast-fashion brands.

As one of France’s emblematic prêt-à-porter labels, IKKS’s current crisis underlines systemic vulnerabilities within the fashion sector. The observation period will allow attempts to restructure and negotiate solutions, but the fate of over a thousand jobs hangs in the balance as the company seeks to recalibrate in a turbulent market environment.