Second-hand clothing retail firm Háda announced that it is laying off 400 employees at its Kisvárda site, with immediate effect. The reason is that the COVID-19 epidemic caused a sudden fall in consumer demand, making the firm unable to give any tasks to its employees. Part of the effect of the epidemic is the government decision, in effect from the day before the day of the layoff announcement, that all non-essential retail stores must close every day at 15:00.
There is no word about any prior notification of – or even ongoing consultation with – employee representatives. A local opposition party official was critical that a firm that had received job creation-subsidies from the government in the recent years could fire employees in such an abrupt way.
In Kisvárda, Háda has been one of the largest employers in recent years.
The Háda chain has more than 80 stores nationwide and has been continually expanding its retail operation, until now. The Kisvárda site is the firm’s logistical centre. All clothing obtained abroad goes through the Kisvárda plant before being distributed among the retail stores. Háda sells second-hand clothes imported primarily from Scotland and Northern Ireland.