At the Salzburg ski manufacturer Blizzard, based in Mittersill, which belongs to the Italian Tecnica Group, 80 employees have to leave because orders for the following season have fallen sharply. 40 permanent employees and 40 temporary workers are affected.
The dealers have not yet sold all of their goods, explains Blizzard spokesperson and director of marketing Thorsten Steiner. “We are seeing a huge drop in orders for the next season.” Therefore, production must be reduced. The US export business in particular is likely to have collapsed, the report refers to insider information.
This has consequences for the workforce: “About 80 employees have to leave the company, of which 40 are permanent employees,” said Gerhard Pfeiffer, chairman of Blizzard’s works council. Most recently there were 330 people in the company – now there are 250. The process started in January. First, 40 contract workers and employees still on probation were fired. The works council also speaks of a “necessary step” due to the current market situation.
Suspension contracts for those affected
There is no social plan for the affected workers, says Klaus Scherer, trade union secretary of Bau-Holz. Suspension contracts have been concluded with those affected for this purpose. “You need the employees and their skills again when the orders come in.” With these contracts, the employment relationship is temporarily suspended. However, the entitlements to holiday pay and severance pay will continue to exist, Scherer notes.
The entire group of companies employs 3,800 people worldwide and generated a turnover of 561 million euros last year. According to insiders, 70 million euros can be attributed to Mittersill. In previous years it was between 50 and 60 million. Blizzard and Nordica brand skis and third-party orders are produced.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
