Wellis Announces Layoffs as Hot Tub Market 'Freezes'

Manufacturing

Image by Shutterstock.com

Hungarian hot tub maker Wellis on Tuesday announced an extraordinary reduction in capacity along with layoffs amid a sharp fall in demand on European markets, according to a report by state news wire MTI.

"As the result of economic difficulties, growing inflation, higher energy prices and the war, Europe's hot tub market has frozen, with demand falling to a fraction [of earlier levels]," Wellis said.

The company acknowledged that sales are "under target" and said it will lay off 300 workers at its plant in Ózd (about 123 km northeast of Budapest) "in the interest of ensuring stability".

Wellis said it has informed its workers of the measure and expects to wind up the headcount reduction in December.

Hungary Signs HUF 6 bln Tied Aid Deal With Kenya Analysis

Hungary Signs HUF 6 bln Tied Aid Deal With Kenya

Moldovan Pensions to be Increased as of April 1 World

Moldovan Pensions to be Increased as of April 1

Schoenherr Names Miklós Klenanc as Head of Local M&A Practic... Appointments

Schoenherr Names Miklós Klenanc as Head of Local M&A Practic...

Hungarian Wine Marketing Agency to Host Summit Drinks

Hungarian Wine Marketing Agency to Host Summit

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.