Renovation of Claire's Austria: 70 jobs at risk – what now?

Renovation of Claire's Austria: 70 jobs at risk – what now?

On November 10, 2025, the restructuring plan meeting in the bankruptcy proceedings of “Claire’s Austria GmbH” took place in Vienna. The Austrian subsidiary of the American fashion and jewelry chain Claire's has experienced significant financial difficulties in recent months. The process has already resulted in branch closures and product sales. The number of employees was reduced to 47 people as competitive pressure in the industry increased.

The majority of the creditors present agreed to a restructuring plan offer, which provides for a 20 percent restructuring plan quota. Of this, 5 percent is due as an immediate cash payment by December 15, 2025. A further five percent must be paid within six, twelve and 18 months after the approval of the restructuring plan. In total, insolvency claims amounting to around 1.58 million euros were registered, of which almost 850,000 euros have to be taken into account in the restructuring plan quotas 5min.at reported.

Reorganization concept and financial challenges

At the beginning of September 2025, various interested parties expressed interest to the insolvency administrator in taking over goods and stocks as well as locations of Claire's Austria GmbH. However, the offers to purchase the inventory were far below the market value. A potential buyer, who also acquired the parent company of Claire's Austria GmbH, is aiming to restructure the company. The insolvency administrator is in close contact with the interested party and their legal representative courier highlights.

Currently, monthly expenses exceed income, which requires continued financing. In addition to financing, a coordinated sale also requires a restructuring plan and financing for the continuation of the business for the next two to three months. It is expected that the cash quota will be financed by grants from the parent or grandparent company.

Legal and economic framework conditions of insolvency

The aim of the insolvency procedure is to ensure the equal satisfaction of all creditors and to restore the company's economic performance. The legislature wants to permanently exclude over-indebted companies from economic life in order to protect other companies from bad debts. The insolvency administrator is tasked with managing the insolvency estate and serving the creditors, while the restructuring is not the main purpose of the procedure, but rather the protection of the creditors. These aspects of corporate restructuring and taxation are discussed in detail in an article by Juhn.com explained.

Claire’s Austria GmbH operates branches in several locations in Austria, including Vienna, Graz and Klagenfurt. The successful restructuring of the company could secure numerous jobs and strengthen competitiveness in the challenging environment of the fashion jewelry industry. The coming months will be crucial in order to successfully implement the planned measures and avoid further insolvencies.