Swiss economy is on the up but jobs are down

Third-quarter performance of Swiss industry confirms that the economy is on a solid upswing, but many companies continue to reduce their staff, according to a poll by the Swiss-based banking giant UBS.

Third-quarter performance of Swiss industry confirms that the economy is on a solid upswing, but many companies continue to reduce their staff, according to a poll by the Swiss-based banking giant UBS.

The newly-released report is based on a poll of 300 companies in all major industrial sectors. All companies questioned said they expect a further increase in production, turnover and profits by the end of the year.

According to the poll, economic growth in the third quarter was 1.4 percent, and fourth-quarter growth is forecast to climb to 1.6 percent.

However, even though economic performance is improving, the number of jobs available is decreasing.

Twenty-five percent of companies reduced their personnel between July and September, while only 19 percent of companies hired more people.

According to the latest official figures, unemployment in Switzerland was 2.4 percent in August.

Prospects for workers remain bleak as companies say they plan to reduce their staff in the last three months of this year, particularly in the machine and textile industries.

These two sectors showed the least economic growth in the third quarter.

Production and profits mainly went up in the food, paper, graphics, and wood manufacturing industries. Exports of pharmaceuticals, chemical products and electronic goods also rose, according to the latest figures.

Due to continued consumer confidence, the retail sector has also continued its upswing. The Federal Statistics Office said that turnover, adjusted for inflation, climbed 1.5 percent in the first eight months of this year.

From staff and wire reports.