EJ Victor fires almost all employees

EJ Victor laid off 121 employees, almost its entire workforce. The cuts come at the end of a difficult period for the Morganton, North Carolina-based furniture maker. First, its plant was flooded during Hurricane Helen at the end of September, which resulted in inventory damage and a halt in new orders. A dispute with the insurance company then led to a lawsuit in which EJ Victor management claimed that Fireman’s Fund had denied her insurance claim.

In a statement provided Furniture todayThe company blamed the layoffs on the conflict: “Unfortunately, the insurance company’s position has left us with no choice but to terminate the employment of many of the valuable and qualified employees who have worked with EJ Victor over the years.”

Although the layoffs effectively halted the luxury brand’s development, EJ Victor retained a small administrative staff to oversee what was left of the company. At the time of publication, it was not clear what would happen to open orders.

Founded in 1990, EJ Victor was best known in its early days for its 18th century reproductions. Over the following decades the company developed using a combination of different American made furniture and imports, and has also been home to renowned licensed collections from brands such as Ralph Lauren Home, Kate Spade and Kelly Whistleras well as collaborations with Allison Paladino and Randall Tysinger. More recently this debuted pieces by designer and veteran Ralph Lauren Alfredo Paredes.

While there have been industry rumors for some time that EJ Victor is struggling, CEO Richard Oliver – a Deloitte veteran who will take over the business in late 2023 – has been taking steps to stabilize the brand and build for the future. Under his leadership, the company sought to decongest its High Point showroom, refine its marketing message and expand its presence in the hospitality industry.

However, Helen’s one-two punch and insurance dispute appear to have been a devastating blow. In a statement, EJ Victor management said it would continue to file a lawsuit against its insurance company, Fireman’s Fund, and asked for “everyone’s thoughts and prayers as we deal with this disaster.”