Low-cost fashion brand H&M said Wednesday that it will be reducing its global workforce by around 1,500 positions as part of a plan to reduce costs and further improve efficiency.

The Sweden-based company said a restructuring charge of 800 million kronor (76 million) will be booked in the last three months of the year.

The staff reduction is estimated to provide annual savings of about 2 billion kronor (190 million).

CEO Helena Helmersson said H&M was "very mindful of the fact that colleagues will be affected by this. We will support our colleagues in finding the best possible solution for their next step."

H&M was founded in Sweden in 1947.

Besides the clothing retailer, the group includes brands like COS, Monki, Weekday, Cheap Monday, & Other Stories, H&M Home, ARKET and Afound.

It counts about 4,664 stores in 77 markets and has 57 online markets.