Add Designer Brands Inc. to the list of footwear and fashion firms conducting layoffs in early 2026.
The DSW parent did a round of layoffs at the end of January, although it wasn’t immediately clear how many employees were impacted. Sources indicated that the layoffs were conducted across operations and brands.
“As we continue the progress we’ve made in advancing our strategies, last week we took actions to simplify our organizational structure, reduce complexity, and improve speed and accountability,” a Designer Brands spokeswoman told Footwear News (FN). “These changes strengthen our ability to execute, manage costs, and create long-term value for our customers, our teams and our business.”
The spokeswoman said the company’s “priority is to support affected associates with the resources they need during this transition.”
Brands under the Designer Brands umbrella include Topo Athletic, Keds, Vince Camuto and Jessica Simpson, among others. In addition to DSW stores and the online site, the company also owns the store and online businesses of The Shoe Co. in Canada and Rubino Shoes in Québec.
Footwear and fashion job losses in 2025 surpassed 17,250. In comparison, a report from global outplacement firm Challenger, Gray & Christmas last October that there were nearly 950,000 jobs cuts in the U.S. from January through September, noting that many of the cuts were due to AI and automation gains.
Designer Brands is among the first out of the gate in 2026 to conduct a round of layoffs. Last month also saw the disclosure from Nike that it is cutting about 775 jobs as part of its consolidation of U.S. distribution center operations across facilities in Tennessee and Mississippi. In a statement to FN, Nike said the move is part of the Swoosh’s “Win Now” strategy, which was noted during the company’s third quarter earnings conference call in March 2025.
Last month also saw Genesco CEO Mimi Vaughn indicate that it was set to transform its information technology operating model to support the firm’s long-term growth strategy following a “comprehensive review” of its IT operations. The Journey’s parent, working with a leading global technology provider, would be adopting new tools designed to improve speed and scalability, as well as accelerate AI-enabled innovation and automation. Full transformation is expected to be implemented in phases over the next 12 to 18 months. While Genesco said some positions will be impacted within its IT organization, it did not disclose any further details on the potential number of jobs that could be impacted.
In Designer Brands’ most recent third quarter report for the three months ended Nov. 1, net income rose nearly 40 percent to $18.2 million, or 35 cents a diluted share, from $13.0 million, or 24 cents, a year ago. But sales were down 3.2 percent to $752.4 million from $777.2 million a year ago, while total comparable store sales fell 2.4 percent. Included in the comps report was a decline of 21.5 percent for the firm’s brand portfolio segment, which is the report for its direct-to-consumer channel.
At the time CEO Doug Howe said that while macroeconomic pressures continue, the company was confident in its ability to “navigate the near-term environment and continue making progress on our long-term strategies.”