Jaguar Land Rover to cut up to 5000 jobs later today – report
British firm declines to comment on report heavy job losses will form major part of cost-cutting plan
The job losses will be part of a £2.5 billion turnaround plan the British firm is set to outline in January. JLR has been hit by falling demand for saloon cars and diesel engines, and posted a loss of £90 million in the third quarter of 2018. The company said previously that sharply falling sales in China were the key reason for the loss.
While Jaguar Land Rover boss Ralf Speth announced the 18-month cost-cutting plan when those financial results were announced in October, no specifics were given on what they involved.
Rumours of significant job cuts first broke late in 2018 in the Financial Times and today’s reports suggest that an announcement later will include job losses that “run into the thousands”.
JLR, which currently employs around 40,000 people in the UK, has already cut 1000 job at its Solihull plant – which it recently shut for two weeks – and is currently operating a three-day week at its Castle Bromwich facility, which makes its saloon car range.
The reports highlight the uncertainty facing JLR, and beyond the cost-cutting plan the company is also attempting to determine its long-term future. Autocar has previously reported this could include the radical step of turning Jaguar into an EV-only brand.
Jaguar Land Rover has yet to react to the reports.
Source: Autocar Online