CALIFORNIA –
VF Corporation (VF), owner of the popular workwear Dickies, announced on November 21 that it was relocating the brand’s headquarters from Fort Worth, Texas to Costa Mesa.
“This move allows VF to further consolidate its U.S. real estate portfolio as part of its stated business turnaround strategy,” said VF director of external communications Ashley McCormack to the Fort Worth Report.
VF’s second-quarter earnings report showed revenue at $2.8 billion – down 6% compared to last year.
The company also owns other popular brands including Vans, and The North Face which both showed a slowdown in sales.
VF Corp acquired Dickies in 2017 for $820 million in cash along with other workwear brands Workrite, Kodiak, Terra, and Walls.
The move – to be completed by May 2025, will allow Dickies to share work space with other brands at the Costa Mesa headquarters potentially reducing operational costs.
Over 230 companies have left California
Dickies move to California goes against the trend of companies leaving the state.
According to the California Policy Institute, over 230 companies have left California since 2005 with more than half of them relocating to Texas citing a business-friendly environment and lower costs.
Although many businesses have left in recent years due to high operational costs and regulatory challenges, California continues to be a worldwide innovation hub, largely driven by its startup ecosystem.
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Startups like Uber, Snapchat, Robinhood, and OpenAI have had a major impact on sectors such as transportation, social media, finance, and artificial intelligence.
According to the California Chamber of Commerce, the tech sector contributed $623.4 billion to the state’s economy in 2022.
