Zenith, LVMH’s watchmaker, plans to cut about 100 jobs
Zenith, the Swiss watchmaker owned by LVMH, plans to cut around 100 jobs at its Le Locle factory, representing roughly half of the site’s 196 positions, while another 100 roles worldwide are also at risk. The reductions are part of a strategic repositioning aimed at refocusing the brand on haute horlogerie, building on the success of the award-winning Zenith G.F.J. Calibre 135, which sells for just under $60,800. The shift means moving away from its current market segment of watches priced between approximately $9,700 and $18,200.
The cuts come as the broader Swiss watch industry faces a slowdown after years of record growth, with exports falling in 2024 and 2025. Economic pressures, including weaker demand in China, US tariffs, and geopolitical tensions, have contributed to the downturn, prompting the Swiss government to extend short-time working benefits to help companies avoid layoffs.
Buying Time Analysis: The story highlights Zenith’s significant job cuts amid a strategic shift toward high-end watchmaking, underscoring broader challenges in the Swiss watch industry and the impact of economic pressures on luxury manufacturers.
