Nissan has announced it will cut around 12,500 jobs globally as it unveiled quarterly operating profit had crashed by 98.5 per cent.
The Japanese car maker will cut production capacity by around 10 per cent by the end of 2022 as sales fell in a number of its major markets.
Nissan did not say where the axe will fall, leaving 7,000 staff at the company’s Sunderland plant facing a period of uncertainty.
The job cuts were announced on Thursday alongside the car maker’s first-quarter results, which showed a 98.5 per cent fall in operating profit compared with a year ago.
Revenues dropped 12.7 per cent to 2.3 trillion yen (£200bn). Nissan sales in Europe, excluding Russia, fell by 17.8 per cent to 536,000 units while sales in the US slumped 9.8 per cent to 1.4 million.
1/5 Jaguar Land Rover
Britain’s largest automotive manufacturer announced in January that it plans to cut 4500 jobs from its 40,000 workforce
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2/5 Nissan
The Japanese car company announced early in February that it would no longer be making the new X-trail model at its Sunderland factory
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3/5 Honda
Honda has announced that it is planning to close its Swindon plant with the loss of 3,500 jobs
PA
4/5 Michelin
Michelin announced in November that it will close its Dundee tyre factory which employs over 800 people by 2020
PA
5/5 Schaeffler
Shchaeffler’s Llanelli plant is to close by the end of 2019. The company provides automotive and and industrial parts worldwide and the Llanelli plant employs over 200 people. Juergen Ziegler, chief executive for Europe, said that while Brexit was not the only factor, it has “brought forward” the decision to relocate
1/5 Jaguar Land Rover
Britain’s largest automotive manufacturer announced in January that it plans to cut 4500 jobs from its 40,000 workforce
Getty
2/5 Nissan
The Japanese car company announced early in February that it would no longer be making the new X-trail model at its Sunderland factory
Getty
3/5 Honda
Honda has announced that it is planning to close its Swindon plant with the loss of 3,500 jobs
PA
4/5 Michelin
Michelin announced in November that it will close its Dundee tyre factory which employs over 800 people by 2020
PA
5/5 Schaeffler
Shchaeffler’s Llanelli plant is to close by the end of 2019. The company provides automotive and and industrial parts worldwide and the Llanelli plant employs over 200 people. Juergen Ziegler, chief executive for Europe, said that while Brexit was not the only factor, it has “brought forward” the decision to relocate
Nissan has gone through a period of turbulence that saw former chairman Carlos Ghosn ousted from the company and charged with several counts of misconduct which he denies.
Mr Ghosn was the driving force behind a concerted global expansion, including into the North American market. Now the company is reversing some of that strategy by pulling back.
More follows…
