One of the largest global apparel brands, H&M has axed more than 100 jobs from Bangladesh production office to cope with the rapid changes in the retail industry amid the COVID-19 pandemic. The Swedish retailer is gradually withdrawing its businesses from tier three or silver category factories and shifting towards platinum-and gold-rated ones. The group is developing its organization to become even more efficient, fast moving and agile, said Ulrika Isaksson, Head-Communications, H&M Group.

H&M has approximately 650 employees at its production office in Bangladesh. These employees will be the group's main priority in this process, and that they will fulfill their obligations according to local labour law requirements. The retailer is and will be shifting the orders to local big platinum-and gold-rated factories as its units received work orders for more than their capacity during the pandemic.

The big factories will grab a larger share of the orders withdrawn from the H&M's silver categorized units and they might shift to other countries, especially China.