BRAZIL - Moveis Bartira, a Via Varejo Group company located in São Caetano, SP, suddenly dismissed 300 employees, the equivalent of a work shift or 19% of its workers.

The decision was informed via telegram to those affected. From October 1st the plant has been idle and its due to start operations again on November 5th. The justification given to employees is the need to adjust and balance inventory.

“We understand the country’s situation, we understand that sales are down, and therefore there is a general concern that there may be more layoffs,” said José Maria de Albuquerque, president of Sintracon (Intermunicipal Union of Construction and Furniture Workers) of São Caetano.

Via Varejo, the company responsible for Móveis Bartira and brands such as Casas Bahia and Ponto Frio, reported that “due to a process of inventory adjustment to the store mix, logistics operational efficiency and sales, it carried out a readjustment of the staff, eliminating a shift of activities”. The group also confirmed that the production has been paralyzed since October 1st.

Bartira is currently the largest furniture manufacturer in Brazil. The factory occupies en area of 110 thousand m² where around 14 thousand pieces of furniture are produced per day, that is, one every six seconds. About 40 trucks are sent daily to the distribution centers of Via Varejo, which supply more than 900 Casas Bahia and Pontofrio stores throughout the country.

Last May the Company had announced a repositioning of the brand that included the increase of the product portfolio and the entrance to new categories, as well as the redesign of its corporate image.