Company Streamlines Operations by Eliminating Executive Position at Bath & Body Works
Bath & Body Works has announced a significant change in its leadership structure, eliminating the position of President of Retail, a role previously held by Julie Rosen. The company's CEO, Gina Boswell, will now oversee most of the functions that were previously under Rosen's purview, including stores, store design, international product functions, merchandising, design, planning, and allocation.
Rosen, who is well-liked and talented according to Simeon Siegel, an analyst from BMO Capital Markets, will remain available to help in a nonexecutive role until approximately October 22. The move to eliminate Rosen's position was not due to concerns over product or performance, but rather a company view of feeling stable enough to remove a position deemed duplicative.
The company initially forecasted flat sales for the year, but in August revised this guidance to a range of a 2% to 4% decline. This adjustment was made from the initial guidance released in February, which predicted a 3% decline compared to last year’s $7.4 billion.
Retailers are facing challenges this holiday season, including price-conscious shoppers and ever-changing tariffs. However, Bath & Body Works is prepared for the holidays and operations under more streamlined leadership. The specific details of these challenges for retailers during the 2025 holiday season were not provided.
According to Bath & Body Works' 2024 proxy statement, Rosen's total annual compensation topped $5 million in the fiscal year 2023, $7.8 million in fiscal 2022, and $4.1 million in fiscal 2021. Until her separation date in October, Rosen will receive compensation based on her current agreement.
Rosen's extensive experience includes stints at Ann Taylor, Loft, and Gap Inc. Gina Boswell thanked Rosen for her contributions to the company.
The elimination of the President of Retail position at Bath & Body Works is part of the company's ongoing efforts to adapt to changing retail trends, including expanding distribution channels. However, specific executive structural changes are not publicly detailed in the sources available.
- The AI in editorial analysis might highlight the potential impact of Bath & Body Works' streamlined leadership on the retail industry, given the eliminated President of Retail position and the CEO taking over more functions.
- As finance markets assess the industry, they may observe the impending cost savings from the absence of the President of Retail position, considering Rosen's significant annual compensation in previous years.
- With the retail industry facing challenges in the holiday season, such as price-conscious shoppers and unpredictable tariffs, AI systems might predict a more competitive market for major players like Bath & Body Works, now led by a more focused leadership structure.
