Richemont restructures Swiss Montblanc business and cuts jobs

Six jobs have disappeared at Montblanc's Swiss watch business, as Richemont reshapes its Le Locle operation amid weaker demand. The dismissals were completed at the end of September, according to Unia Neuchâtel, which represents workers at the site.

The changes affect a workforce of 45 people at the brand, founded in 1997 and now part of the Geneva-based luxury group. Richemont is also moving staff across its portfolio. Unia says 23 employees have accepted or are negotiating transfers to other group companies. The source separately describes the company as organising the transfer of 17 employees, reflecting different stages in the process.

Cartier is among the destinations offered to workers. A smaller number may move to Minerva, Richemont's high-end manufacture in Villeret in the Bernese Jura. The transfers could preserve employment for some staff, although they will bring practical costs. Unia secretary Solenn Ochsner said the terms will not be identical and that some employees face longer daily commutes.

Richemont had not responded to requests for comment when the report was published. The restructuring places a local employment decision inside a wider reorganisation of Swiss luxury watchmaking.

Workers are being asked to move within Richemont rather than leave the group altogether, but the arrangement changes where and how they work. The company has offered roles at other group entities, including Cartier. Some employees have agreed, or are considering positions, at Minerva in Villeret.

For staff based in the Neuchâtel region, the geography matters. Le Locle sits in the heart of the Jura watchmaking cluster, while Villeret lies across the cantonal border in the Bernese Jura. A transfer can therefore mean a longer journey each day, alongside changes to workplace routines, responsibilities and employment conditions.

Ochsner said the terms offered to transferred workers will not be quite the same as those at Montblanc. The source does not specify pay, hours or other contractual details, leaving the union to negotiate on behalf of affected employees.

The figures also show the scale of the adjustment. Six of 45 Montblanc employees have lost their jobs, while 23 have accepted or are negotiating transfers, according to Unia. The reported figures describe a process still being worked through, rather than a single, completed personnel move. For workers, the difference between a group transfer and a redundancy will be measured in contracts, commuting time and the security of their next role.

Entry-level and mid-range watches are absorbing the sharpest pressure, according to Unia Neuchâtel. The union links Montblanc's restructuring to the broader slowdown affecting the watch industry, where demand has weakened in the segments most exposed to cautious consumers and softer international markets.

The pressure is occurring even as Richemont reports a stronger quarter overall. Group sales climbed 17% to €6.3 billion in the first quarter of the 2026/27 financial year. Jewellery drove much of that increase, showing how unevenly the luxury market is performing across categories.

Richemont's watch brands also returned to growth after two years of decline. Their sales rose 6% to €873 million. That recovery at group level has not prevented individual brands or sites from reducing costs. A positive result across a large portfolio can coexist with weak demand for particular products, especially where production, retail networks and staffing levels no longer match orders.

Montblanc's case illustrates the distinction between financial recovery and employment stability. Richemont can report growth in watches while redirecting resources towards stronger brands, higher price points or more resilient markets. In Neuchâtel, those decisions reach employees directly through redundancies, transfers and revised daily travel patterns.

Minerva's high-end position offers a clearer source of confidence inside Richemont's watch portfolio. The manufacture operates in Villeret, where Richemont has turned historic workshops dating back to the 19th century into a centre of excellence. The group acquired Minerva in 2006.

Ochsner said the situation at Minerva “is going very well”, linking that performance to its specialisation in the very high-end market. The comment highlights the market divide facing Swiss watch companies. Heritage, complicated movements and limited production can support demand among wealthy clients, while more accessible price segments face greater sensitivity to economic conditions and changing consumer priorities.

The proposed transfers connect these two parts of Richemont's business. Employees from Montblanc may take positions at Minerva, although only a minority are expected to do so. Such moves can retain technical experience within the group and give workers access to a business that Unia considers healthier.

They also show how corporate ownership can redistribute skills across Switzerland's watchmaking regions. A job that remains inside Richemont may still become a different job in a different canton. For the company, that flexibility supports restructuring. For employees, it can require new duties, new contractual terms and a longer route to work.

The Montblanc changes will be watched across Switzerland's watchmaking regions because they combine job losses with internal redeployment. The immediate effects are concentrated in Le Locle, but the decision reflects choices affecting brands, factories and specialist skills across the Jura Arc.

Richemont's latest figures provide room for investment, with group sales reaching €6.3 billion and jewellery leading growth. Yet the Montblanc restructuring shows that strong consolidated results do not guarantee stable staffing at every site. Management can shift work towards brands and facilities that serve the most robust parts of the luxury market.

For Neuchâtel canton, the issue extends beyond six redundancies. Watchmaking supports specialised employment, supplier networks and communities built around industrial expertise. When staff transfer to Cartier or Minerva, skills may remain in the wider group. When positions disappear, the local labour market loses roles that may not be quickly replaced.

The next test will be how Richemont completes the transfers and whether the new positions offer sustainable conditions. Unia's account points to continued negotiations for some workers. Richemont's public response, when provided, will help clarify the timetable, contractual arrangements and longer-term plans for Montblanc in Le Locle. For now, the company is reducing exposure to weaker demand while concentrating capacity inside its strongest luxury businesses.