Editor’s Note
Swarovski has announced plans to reduce its headquarters workforce by approximately 400 positions by the end of 2026, citing challenges in its B2B division.
The Tyrolean crystal conglomerate Swarovski is cutting around 400 jobs at its headquarters in Wattens, Tyrol. This is to be achieved through layoffs, voluntary departures, and retirements by the end of 2026. By then, the number of employees at the headquarters is to fall from the current 2,480 to around 2,100, it was announced on Thursday at a press briefing in Wattens. The reason given for the measure was the location’s important but weakening B2B business.
There has been unrest in Wattens for some time. Since 2007, 4,000 employees have lost their jobs.
The group is posting “robust figures” thanks to the well-performing jewelry business, but in Wattens, production is primarily for business customers. This makes it dependent on external circumstances:
The automotive industry, for which Swarovski is increasingly fulfilling orders, is also in a difficult situation.
Therefore, “capacity utilization” in Wattens has declined and “adjustments” are necessary. In addition to the job cuts, all employees have been offered a ten percent reduction in working hours, and the three-shift operation will be reduced to two shifts. The night shift, which according to Dandrieux costs “millions,” will be eliminated. At the same time, however, he expressed his commitment to the location:
Therefore, the company wants to invest 150 million euros in the location by 2023. Nevertheless:
In recent years, the globally active group has steadily reduced its workforce at its headquarters. In 2020, 1,200 employees were affected; previously, 4,600 people worked in Wattens. The job cuts in the midst of the Corona pandemic caused a major stir at the time – also in state politics. A job foundation and a social plan were subsequently established.
However, the crystal company has not only made headlines because of job cuts. Corporate management and the economic situation – not least due to the Corona crisis – have also been in focus. A dispute, partly fought out in courts and in the media, was declared over this summer. The shareholders unanimously agreed to create an “integrated crystal group.” The new DSW Kristall AG & Co KG is a 100% subsidiary of the Swiss Swarovski International Holding (SIH). The Wattens operation and thus all employees were brought into the new group.