Saks Global Clears Bankruptcy Plan, Cuts 640 Jobs, Targets $700 Million Liquidity

*TL;DR: Saks Global won court approval to exit bankruptcy, will lay off 640 corporate staff and aims for nearly $700 million in liquidity.

The U.S. Bankruptcy Court for the Southern District of Texas gave the green light to Saks Global’s reorganization plan on May 1. The decision unlocks a voting process among creditors and sets a summer timeline for the retailer’s emergence from Chapter 11 protection.

As part of the plan, Saks Global will eliminate about 640 corporate positions, roughly 16 % of its corporate headcount and 4 % of its total workforce of 17,000. The cuts target back‑office roles and do not affect store or distribution employees.

The company projects close to $700 million in liquidity—cash and readily available assets—once it exits bankruptcy. Management expects that cash pool to grow as the reorganization proceeds.

Saks Global’s five‑year roadmap calls for $9 billion in gross merchandise value by fiscal 2030 and double‑digit adjusted EBITDA, a measure of profit before interest, taxes, depreciation and amortization. The strategy emphasizes luxury and full‑price sales, a leaner corporate structure and the closure of non‑core stores, including most Saks Off 5th locations.

CEO Geoffroy van Raemdonck said the approved plan positions the company to serve as the premier gateway to U.S. luxury shoppers and to strengthen partnerships with brand owners. He highlighted secured capital and operational momentum as foundations for sustainable growth.

The layoffs follow earlier reductions: 5 % of corporate staff in February 2025, an additional 550 jobs two months later, and a Tennessee distribution‑center shutdown that cost 500 jobs. Those moves, combined with the current cuts, reflect a broader effort to right‑size the organization.

What to watch next: creditor voting outcomes, the exact timing of the summer emergence, and how the liquidity target translates into investment in stores and digital channels.