The H&M Group has merged Weekday and Monki, two of its portfolio brands, to cater more broadly to the needs of its young consumers. It will also review its denim label Cheap Monday, which was discontinued in 2019 because of declining sales.
The brand will return as part of the merger through which it is set to offer a small assortment of jeans. H&M hopes to reduce administration and operational costs, as well as free-up resources to further focus on the development of brand experiences. It also aims to strengthen its competitive position by leveraging customer synergies.
Anna Attemark, head of portfolio brands at H&M Group, said they see great potential with the new youth destination, with the brands Weekday, Monki, and Cheap Monday. “Over time we will also explore how to further develop it by including more partners. While looking forward to having a new organization up and running, we remain humble for the changes this entails for some of our employees.”
But the merger negatively affects the brand’s employees. The Monki head office in Gothenburg will close, and make 150 staff members jobless. However, H&M said those impacted by the move will be supported in applying for roles within the new organization, or elsewhere within the group.
In November 2022, H&M announced plans to cut 1,500 jobs from its global workforce as part of a major restructuring programming to cut costs after sales in Europe dropped drastically.
