Jaguar Land Rover to cut production jobs in UK

17 April, 2018, 17:31 | Author: Darnell Taylor
  • Jaguar Land Rover to cut production jobs in UK

Jaguar Land Rover has decided not to renew contracts of about 1,000 of its agency staffers at the Solihull factory in UK.

The company said that retail sales were 83,732 for March and 172,709 for the fourth quarter, down 7.8% and 3.8%, respectively, primarily due to lower United Kingdom sales, and to a lesser extent reduced sales in Europe. "But even against this backdrop it's good to see that we have closed our financial year with record retail sales".

Though equipment and design updates are extensive, the flagships remain the same at their heart and continue to derive power from the same petrol and diesel engines that did duty in the outgoing models.

Industry figures show continuing declines in United Kingdom auto production mainly thanks to steep falls in domestic demand, while there are also concerns about how exports may be affected by any trade barriers which could be thrown up by Brexit.

Autocar reports the British manufacturer has restricted the layoffs to agency workers, with JLR citing a decline in diesel vehicle sales for the decision.

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In Europe, diesel sales decreased 7.9% in 2017 and showed a marked dive of 20.5% in December, according to figures from analyst Jato Dynamics, indicating that the downward trend was gathering pace.

A spokesman at Jaguar Land Rover (JLR) refused to comment on the number of jobs that would be lost but the company stated it would be making changes to its output plans.

Also, Brexit and related issues have made it increasingly hard for JLR to finalise on a strategy.

Last week the company - which has about 40,000 staff - attributed the move to "continuing headwinds impacting the vehicle industry", though insiders hinted Government policy towards diesel was the main driver.

JLR said in its statement that it was continuing to recruit large numbers of highly skilled engineers, graduates and apprentices and remained committed to its United Kingdom plants.

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