Why is yves shutting down

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Last updated: April 8, 2026

Quick Answer: Yves Saint Laurent, the luxury fashion brand, is not shutting down but has undergone significant restructuring. In 2023, parent company Kering announced plans to fully integrate YSL into its operations, dissolving the standalone YSL Beauty division. This followed a 2022 decision to merge YSL Beauty with Gucci Beauty under Kering Beauté, affecting over 100 employees. The brand continues operating with new leadership, including CEO Francesca Bellettini overseeing the transition.

Key Facts

Yves Saint Laurent was founded in 1961 by Yves Saint Laurent and Pierre Bergé
Kering acquired YSL in 1999 for approximately $1 billion
In 2022, Kering merged YSL Beauty with Gucci Beauty under Kering Beauté
2023 restructuring affected over 100 employees across YSL divisions
YSL reported €3 billion in revenue in 2022 before restructuring

Overview

Yves Saint Laurent (YSL) is a French luxury fashion house founded in 1961 by designer Yves Saint Laurent and his partner Pierre Bergé. The brand revolutionized fashion with innovations like the women's tuxedo suit (Le Smoking) in 1966 and became synonymous with Parisian haute couture. In 1999, French conglomerate Pinault-Printemps-Redoute (now Kering) acquired YSL for approximately $1 billion, integrating it into their luxury portfolio alongside brands like Gucci and Balenciaga. Under Kering's ownership, YSL expanded globally, operating over 200 stores worldwide and launching successful fragrance and beauty lines. The brand maintained its couture heritage while modernizing under creative directors including Tom Ford (1999-2004), Stefano Pilati (2004-2012), and current creative director Anthony Vaccarello (since 2016).

How It Works

Kering's restructuring of YSL involves consolidating operations to improve efficiency and profitability. The process began in 2022 when Kering merged YSL Beauty with Gucci Beauty under the newly formed Kering Beauté division, centralizing marketing, distribution, and product development. In 2023, Kering announced full integration of YSL into its corporate structure, dissolving the standalone YSL Beauty entity. This involved reassigning over 100 employees to other Kering divisions or offering severance packages. The restructuring follows Kering's strategy to streamline its beauty operations after acquiring Creed fragrance house in 2020 and establishing Kering Beauté in 2021. Operational changes include unified supply chains, shared retail platforms, and consolidated management under Kering's luxury group CEO Francesca Bellettini.

Why It Matters

The YSL restructuring reflects broader shifts in the luxury industry toward operational consolidation and digital transformation. For consumers, it means continued access to YSL products through integrated retail channels, though some limited-edition beauty items may be discontinued. For the fashion industry, it demonstrates how conglomerates like Kering (with €20.35 billion in 2023 revenue) optimize portfolio brands amid economic pressures. The move impacts luxury employment patterns, with traditional standalone brand structures giving way to shared-service models. YSL's heritage preservation remains crucial, as the brand represents significant cultural capital in fashion history, making its successful integration vital for maintaining French luxury's global prestige.