PARIS/BARCELONA/LONDON, (Reuters) – Nissan Motor will cut about 900 jobs in Europe, around 10% of the total, and consolidate production from two lines to one at its Sunderland plant in the UK as part of a global restructuring drive, the Japanese automaker said on Tuesday.
The job cuts will focus on white-collar and warehouse roles, a Nissan Europe spokesperson said, adding that the company’s current European headcount stands at about 9,300.
The company’s sweeping turnaround plan, launched last year under Chief Executive Ivan Espinosa, aims to restore profitability after heavy losses, reduce Nissan’s global manufacturing footprint and cut its total workforce by 15%.
“We have been taking decisive actions to enhance performance and create a leaner, more resilient business that adapts quickly to market changes,” Nissan said in a statement.
In addition to the layoffs, the Nissan Europe spokesperson said the carmaker, Japan’s fourth largest, was looking at other moves in Europe, including shifting to a distribution model managed by importer partners in Nordic markets.
“The proposals in the consultation include a headcount reduction across Europe of 900 jobs, the partial closure of our warehouse in Barcelona, and in the Nordics market we are going to change the distribution model,” the spokesperson said.
“We are also consolidating production in Sunderland plant from two lines to one line, because we are looking for opportunities with our parties to maximize our plant utilization.”
A Nissan Spain spokesperson said around 500 people in Spain work in the areas targeted by the layoffs, but added that the final figure will be negotiated with unions in the coming weeks and would likely be lower than that.
“This is a new disappointment by Nissan for which again the only solution that it seeks to adapt to a situation is to fire workers,” said Miguel Ruiz, leader of Spanish Nissan union USOC, adding that it was too early to know final job loss numbers.
In 2020, Nissan shut its main factories in Barcelona affecting around 3,000 jobs.
A spokesperson for Nissan Manufacturing UK confirmed that the focus was white-collar roles and said that there would be no production job losses at the Sunderland plant.
The Financial Times first reported the job cut plans.
Nissan is expected to update on the progress of its restructuring plan when it reports full-year financial results later this month, and has said it will announce further elements of its strategic direction later in the year.
Reporting by Rishabh Jaiswal in Bengaluru, Gilles Gillaume in Paris, Joan Faus in Barcelona and Paul Sandle in London; Editing by Shailesh Kuber and Bill Berkrot
