Levi's executive says she was forced out over her COVID views

Yahoo Finance's Julie Hyman and Brian Sozzi discuss Levi's brand president saying she was forced out over her COVID-19 views and what it means for the apparel company.

Video Transcript

JULIE HYMAN: Another story we are watching as we continue to watch the interconnection of free speech and COVID and the workplace and the workplace of the future, there is an executive at Levi who has left the company over what she said is her outspokenness regarding whether schools should be open or not in this environment. Brian, you've got the details on all of this.

BRIAN SOZZI: Yeah, a new blog post by the now former head of the Levi's brand, Jennifer Sey, saying that she left the company and left a million dollars severance on the table here, that, you know, just according to the post that she had on Substack, that she was forced out of the company because of her views on COVID-19 related school closures out in California here. Very much a developing situation here. I should note that Levi's comms chief Ansel Martinez did not return my email for request or comment on this one.

But again, a very worrying situation for a company, Julie, that has done pretty well throughout the pandemic. Just looking at it from a pure business standpoint, Levi's brand has done very, very well the past few years. And in large part, it has been because of Jennifer Sey's leadership at the company. So just from that standpoint here is not necessarily a good look here if you are a Levi's shareholder here, that you're losing the potential-- the head of this Levi's business.

But also what was further revealed in this Substack post, Julie, was that CEO Chip Bergh, the CEO of Levi's, Chip Bergh potentially signaled that she was the successor to him as CEO. So of course, you don't want to see an executive of that caliber leave the company.

JULIE HYMAN: I would just-- I don't know if I would quibble, but I would say we don't really have enough information here as of yet. I really would love to get that statement from the company and hear what their perspective is on all of this because for now, what she's saying in her blog post remains as it stands. And as you say, perhaps there are some worrying implications there. But we don't know what the company's perspective on it is. So hopefully, they'll get back to us.

BRIAN SOZZI: Yeah, no, and I'll just say that, too. You know, in this post, it's noted that Bergh met with Sey in the fall of last year to-- that she might be-- that she was in the lead spot to take over Levi's as CEO. And again, just looking at it from a pure business standpoint, Chip Bergh, he's taking on a lot of heat unrelated to this situation here.

But still, his leadership of Levi's the past five, six, seven years has been one of the strongest stories here in retail. He came in there, he really turned the company around. So even to get a signal that he is eyeing perhaps another chapter in his own life, is he only CEO for the next year is something to be on the lookout for as well.

JULIE HYMAN: Right, and there had been no other indications of that in other conference calls, investor days, et cetera, correct?

BRIAN SOZZI: Correct.