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Journalism of Courage
Levi Strauss 038; Co., maker of a jeans brand so all-American that it became ingrained in the nation8217;s identity, said on Thursday that it will close the last of its North American manufacturing plants, laying off almost 2,000 workers.
The announcement came two weeks after the San Francisco-based company, which is struggling to cut costs and stay competitive, said it would lay off seven per cent of its US workforce. Levi now says it will shutter two plants in San Antonio, Texas by the year8217;s end, displacing 800 workers and marking the end of US operations.
Over the past seven years, Levi has closed dozens of plants in North America and Europe and slashed thousands of jobs. Last year, it posted sales of 4.2 billion. The jobs lost at Levi plants in North America are likely to shift to Latin America and Asia, Levi spokeswoman Linda Butler said. Levi now works with about 500 contractors, producing apparel in 50 countries.
Levi is simply adapting to a reality that many other US apparel makers have had to face, Burke said. 8216;8216;What you8217;re seeing with Levi is just the economic reality of our industry,8217;8217; Burke said. 8216;8216;American consumers, when shopping look at price and quality, and not necessarily to where the product is made.8217;8217; But experts say few, if any, brands are as linked to the US landscape as the Levis.
Levis has been a symbol of US spirit since prospectors rushed into California 150 years ago, wearing Levi jeans with copper rivets. 8216;8216;As the miners went into the Sierra Nevadas to pan for gold, Levi stood the test,8217;8217; said Peter Sealey, adjunct professor of marketing at the University of California. 8216;8216;That created the company8217;s image and history.8217;8217;
To many consumers, Levi was a symbol of 8216;8216;confidence, sex, youth, rebellion, freedom, originality and authenticity,8217;8217; said Alex Wipperfuth, partner at Plan B, a marketing company. 8216;8216;Those are the dimensions of Americana, according to Levi,8217;8217; he said.
8216;8216;I think the key issue is, will any of those fall away once people realise Levi is not produced in the US anymore?8217;8217; LAT-WP
