Jaguar Land Rover (JLR) has confirmed it will cut 4500 jobs from its UK workforce as part of a major cost-cutting programme aimed at building long-term, profitable growth.
The cuts account for around 10% of the Tata-owned company’s 43,000-strong staff across the country, which includes plants in Castle Bromwich, Solihull and Halewood. The job losses are in addition to 1500 workers cut last year.
Though the numbers of jobs cut at specific locations have yet to be announced, CEO Dr. Ralf Speth JLR has told the media on a conference call that "all locations" within the UK will see some form cuts, focused on "the management and leadership areas of our facilities" Workers will initially be reduced through a voluntary redundancy programme, or via the offer of early retirement packages.
JLR CEO Ralf Speth said: "We are taking decisive action to help deliver long-term growth, in the face of multiple geopolitical and regulatory disruptions as well as technology challenges facing the automotive industry."
Read more: Opinion - Why today could mark the first day of Jaguar's salvation
The announcement today by the UK’s largest car manufacturer follows falling demand for its saloon cars and diesel engines, along with a sharp fall in sales in China of 21.6% in 2018. As a result, it posted a loss of £90 million in the third-quarter of 2018.
The firm has also released its full year's sales figures for 2018, confirming an overall drop across both brands of 4.6% compared with 2017. Out of a total of 592,708 vehicles, nearly 181,000 Jaguars were sold (a modest 1.2% growth on 2017) and just under 412,000 Land Rovers (a 6.9% drop on 2017).
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That bloke
Will this transformation
Will this transformation involve the sacking of the management? It is solely they who are to blame. I expect them to go as soon as the new owner buys JLR, so they might as well leave now rather than being asked to soon.
That bloke
...And they can't enter new
...And they can't enter new segments as that would require massive investment in new models (which is what they do need to do), and Tata cannot finance it. Moody's has been pointing this out for some time, now. Tata is being dragged down to 'junk' level by JLR, and this won't continue for too long, Tata won't allow it. As I've been saying, I'm afraid the future for JLR (despite the Evoque and the iPace) is not good. It's very sad, but the standard of management here in the UK is woeful. The new owners (BMW or VW) will be good for JLR...if they invest massively, that is.
autoindustryinsider
the truth
The truth is that the factors principally behind this are 1) Trump (for his China trade war) and 2) the British Government (for their precipitous demonisation of diesel powertrain). Brexit is currently just the minor factor. I say that as a staunch remainer. Brexit will make this current crisis for JLR look rather minor.
The management certainly are not to blame for the current problems. Instead they're handling things very well, with flawless logic, a sound message and great sensitivity. Except of course for the one individual that leaked this story early, giving us all an incredibly worrying morning today.
(P.S. Do your bit for Britain: buy Jaguar XE if you can afford one and then write to your MP and ask them to help ditch Brexit)
michael knight
poor mgmt
Is this irony? Do you not think that the planners, the strategists, the upper-management with their global -perspective and equally global salaries, should have clear road-maps for changing market conditions? I don't see any other brands so dependent on China and diesel, without widening their investments. Their range is confusing, cannibalistic and starting to get very creaky, apart from one or two stand-outs. These situations don't occur in a vacum.
Citytiger
autoindustryinsider wrote:
Trump has nothing to do with JLR's poor sales in China or globally come to that, the Government didnt demonise Diesel one of the most powerful companies in the EU did - VW. Brexit has nothing to do with this, thes cuts have been on the cards since at least 2010.
But seing as you are a remainiac, you have to blame something, I suspect you think Jezza will make it all better if he ever becomes PM.
The management and in particular the current design team are totally to blame, the XE and XF are shocing, both inside and out, the XJ is a dinosaur, and dont even get me started on the Discovery, and the lack of a proper defender, not the thing we are about to get labeled a defender.
Do your bit for Britain, buy a Nissan or Honda or a Toyota that is built in the UK, and tell your MP, we voted to leave, now get on woth it, and at the election vote anyone but Labour.
jason_recliner
40,000
jagdavey
Cut Jobs in the UK.....but take 1500 in Slovakia
They are basically cutting jobs in the UK & hiring new workers in the EU, I-pace & E-pace made in Austria & Defender, Dicovery made in Slovakia.
(Thanks Nigel & Boris for getting us in this mess)
xxxx
Order, Order
Just for clarity Slovakia move decision was before any vote
typos1 - Just can’t respect opinion
scotty5
Fake news alert!
Exactly. And don't insult our intelligence by claiming that Nigel & Boris were responsible - it was 52% of the British public who voted for Brexit.
FM8
scotty5 wrote:
Thicko vote leave cxnts...
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