Jaguar Land Rover has announced it is cut 4,500 jobs and Ford is expected to axe thousands of posts as part of major turnaround plans.
JLR’s cuts are on top of the 1,500 job losses it announced last year and the cuts are expected to occur across the country, including at the firm’s plats in Castle Bromwich, Solihull and Halewood.
A slowdown in sales in China – JLR’s biggest market –, a slump in diesel registrations and concerns about the UK’s competitiveness post-Brexit are all linked to the firm introducing a turnaround plan to save £2.5bn in the next 18 months.
While Ford hasn’t announced how many jobs are going to be axed in the UK, it said this is part of a plan to make its European business more profitable.
Other measures include a proposal to end the production of the C-Max and Grand C-Max MPVs and ending the production of small automatic transmissions in France.
In addition, the firm announced it is going to offer an electrified version of every vehicle – either a mild-hybrid, full-hybrid, plug-in hybrid or full battery electric option – from now, while it is also planning on expanding the models it imports alongside the Mustang sports car. This includes a new SUV which is being unveiled in April and an electric sports car by 2020.
“We are taking decisive action to transform the Ford business in Europe,” said Steven Armstrong, group vice president and president, Europe, Middle East and Africa at Ford. “We will invest in the vehicles, services, segments and markets that best support a long-term sustainably profitable business, creating value for all our stakeholders and delivering emotive vehicles to our customers.”