Good leaders make all the difference during times like this and the good ones will be honest with their people. Bad leaders are nothing more than a factory that creates bitter current and ex-employees.
Individuals are expected to give notice if they are leaving under the guise of professionalism. Leaders should do the same for them when layoffs are coming. You'll lose more productivity based on rumors and speculation than you will based on the truth. S--- it up and tell the truth - especially if it hurts. Your people deserve it and if that day does come, they'll respect you more for having told the truth than if you take the easy way out and blindside them. If you can't do that as a leader, you're nothing more than an empty suit (or jeans in Fossil's case).
Agreed completelly, @QaEJmPa-1rso. It's the not knowing and anticipation that are killing the employee morale, and with it our productivity. Let us know so we can either focus on our jobs or prepare for the next step. This is just pure torture.