Jobs risk as Nissan axe to fall across Europe
COMPANY PROPOSING BACK OFFICE TEAM REDUCTIONS
JOBS at Nissan’s Sunderland factory have been put at risk after the car giant revealed it is planning to axe hundreds of posts across Europe.
The company has proposed making cuts to its back office teams across Europe as part of plans to improve its ‘competitiveness’ in the market.
It is understood that around 200 jobs across the UK and mainland Europe have been put at risk. Nissan has declined to confirm exactly how many roles will be impacted at Sunderland.
The job loss announcement comes during a turbulent week for the automotive industry in which most of the UK’s major car manufacturers have issued urgent warnings that Brexit and other factors are posing huge risks to the industry.
A Nissan spokesman said: “Nissan is focused on meeting the evolving needs of its business and the expectations of its customers.
“We shared proposals with our employees and their representatives that include changes to a limited number of functions and teams. These plans are designed to drive future growth and competitiveness for Nissan.”
The company has said that the changes are only affecting staff in its back office divisions and none of its manufacturing workers are at risk.
The cuts come five months after Nissan announced it was cutting hundreds of jobs at Sunderland as part of plans to introduce a new range of automotive parts.
That news came after it was revealed car sales had fallen in Europe for the first time in four years, with Nissan among those worst affected.
A number of factors have been hitting the automotive industry, chief among them a slump in the sale of diesel cars because of higherthan-thought pollution levels.
But uncertainty over Brexit is also affecting the automotive industry, with MPs warning of potentially huge job losses in the automotive sector if negotiations with the EU do not provide protection for the industry.
This week has seen a number of Nissan’s competitors weigh in over worries around Brexit, with Jaguar Land Rover describing the prospect of a cliff-edge break with the EU as ‘horrifying’ and saying tens of thousands of jobs could be lost.
BMW has scheduled annual maintenance for the period immediately after the UK leaves the EU, saying it would ‘minimise the risk of any possible short-term parts-supply disruption in the event of a nodeal Brexit.’
And Honda said on Tuesday that a no-deal Brexit would cost it tens of millions of pounds, leading unions to warn that the Government’s ‘chaotic’ handling of Brexit was crippling the industry.
The Society of Motor Manufacturers and Traders (SMMT) has said that a no-deal Brexit should be ruled out immediately to avoid ‘damaging’ tariffs which it estimates could be an average of £2.700 per car – affecting demand, profitability and jobs.
SMMT chief executive Mike Hawes said: “Tariffs alone should be enough to focus minds on sealing a withdrawal agreement between the EU and UK but the potential impact of no deal means the stakes for the automotive sector are far higher.