Swarovski job-axing spree continues

Tyrolean-based Swarovski have announced further job cuts at their Tyrolean base.

The luxury brand reacted to its tumbling income by axing further 290 jobs at its Wattens headquarters by the end of this year. This reduces the number of people working at the site to 6,000.

The move means the internationally-operating company has reduced its personnel number by 10 per cent this year. In late 2007, 6,738 people were employed at the Wattens factory; by the end of last month, this number had decreased to 6,291.

The company blamed low-price competition, current global economic turmoil and a weak dollar for their actions.

Company spokesman Markus Langes-Swarovski announced the concern is trying to keep the number of dismissals as low as possible. "But we have to check all employees and their tasks to find the most effective solution.", Langes-Swarovski said.

The company said investments worth 120 million Euros at their Wattens site showed the great importance of making business and employing people in Tyrol.

Only last week, Swarovski sold its subsidiary Kahles, the world's oldest producer of telescopic sights for guns. It was announced that offers for Kahles, founded in 1889, ranged between 8 and 10 million Euros and weapons manufacturers Glock, Beretta and Steyr are all rumoured to be among the interested companies.

A month ago, Swarovski announced plans to sell its share in Czech jewellery polishers Jablonex.

Swarovski operates in 120 countries. The company is directed by family members of the fourth and fifth generation.

In 2007, the company had a turnover of 2.56 billion Euros. Its ’Kristallwelten’ theme park in Wattens is a tourist hotspot in Tyrol. Since its opening 13 years ago, more than seven million people headed to the theme park created by artists André Heller and Brian Eno which hosts huge crystal constructions.