Jaguar Land Rover to cut 10% of workforce at UK Halewood factory

Union says cuts come amid underperforming sales of top models

Jaguar Land Rover will cut around 10 per cent of the workforce at its northern English Halewood factory. Photograph: François Lenoir/Reuters

Jaguar Land Rover will cut around 10 per cent of the workforce at its northern English Halewood factory. Photograph: François Lenoir/Reuters

 

Carmaker Jaguar Land Rover said on Wednesday that it will cut about 10 per cent of the workforce at its northern English Halewood factory as it changes shift patterns to boost efficiency at the site.

The Unite Union said the cuts were linked to slower than forecast growth of the Range Rover Evoque and Land Rover Discovery Sport vehicles, which are made at the plant. The company said the decision was not related to loss of volumes.

Jaguar Land Rover posted a 6 per cent decline in 2019 sales, hit by the weakening Chinese autos market and falling demand for diesel vehicles in Europe. But it has bounced back in China in recent months and overall company sales rose by 1.3 per cent in December.

“Jaguar Land Rover is taking action to optimise performance, enable sustainable growth and safeguard the long-term success of our business,” the company said in a statement.

“Central to the Halewood manufacturing strategy, we are moving from a three shift to a ‘two-plus’ shift pattern from April 2020.”

Around 4,5000 people work at the Halewood factory, one of three of Jaguar Land Rover’s car factories in Britain, with roughly 500 jobs affected by Wednesday’s announcement.

Jaguar Land Rover, like much of the car industry, has also faced the challenge of stepping up investment in zero and low-emissions vehicles as regulations tighten while simultaneously dealing with a drop in demand for some conventionally-powered models. – Reuters