Wellis Announces Layoffs as Hot Tub Market 'Freezes'
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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.
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