Swatch's Strong Forecast Bolsters Decision to Keep Workers
- Company says sales in China showed significant improvement
- Hayek retained staff during downturn as Richemont, others cut
When sales of Swiss watches began their long slide, Swatch Group AG Chief Executive Officer Nick Hayek refused to cut his workforce, saying he’d need skilled employees when demand bounced back. An anticipated rebound in the second half gives him a measure of vindication.
The maker of Omega and Tissot timepieces said Friday that it expects “very positive growth” in local currency terms for the rest of the year, adding to signs of recovery for the industry after the longest slump on record. Swatch said workers who have been operating at less than full speed would now come in handy, letting the company respond as demand bounces back in China and elsewhere.