Chanel is set to lay off 200 of their Production Staff. And the rest of the Luxury Goods Sector, famous for never going on Sale, are having massive Sales even in Milan. The lady herself, Mademoiselle Gabriel Chanel fired her entire Staff in 1939 when they demanded better Working Conditions and Pay during the World War. She would not give them better wages and closed the Company until the War ended.
This is a pretty concerning revelation as I prepare to Jump a Plane to Europe and try to get a Job with one of these houses and currently are employed by a Luxury Goods Company in the most disposable of positions. We've all seen the images of Major Banks lining up their employees a la Firing Squad as they announce their bankruptcy, closure or mass redundancies, I was confident that the Luxury Goods industry would remain largely untouched as the Upper Echelon of Super Rich are largely unaffected by the Economic Crisis currently unfolding, but it appears to be starting to hit.
It's a Strange one though, I sold one of my Clients $4000 worth of Clothing and Accessories on Sunday and the store did close to $20K in under 6 Hours. It seems the Super Rich will stay rich and continue to support the Luxury Goods industry with their Super Dollars. What Luxury Houses may not have anticipated is the combined force of the Middle Class Consumers, who are being hit hard by the Credit Crunch, who are losing their Finance & Banking Jobs and who in turn are losing their disposable income. They may not be the $4000 In One Go Sales but combined their small purchases would account for a large chunk of business.
I'll let you know if I become unemployed again in the next few months.