Business Secretary Jonathan Reynolds has contacted Jaguar Land Rover (JLR) chief executive PB Balaji and is set to meet the company’s leadership team early next week. Reports suggest that JLR is planning to cut 4,000 jobs as part of a major redundancy program, which is expected to be officially announced on Monday. According to The Times, the job losses will be spread over two years. Employees were informed on Friday that a voluntary redundancy program is being offered to salaried and management staff, allowing them to leave the company.
JLR is still recovering from a major cyberattack that disrupted its operations and forced the suspension of production in the UK last year. The company employs around 30,000 people across the UK, with key manufacturing sites in Solihull, West Midlands, and Halewood, Merseyside. A government spokesperson expressed understanding of the uncertainty and concern this period may bring for workers, their families, and local communities. The government has taken several steps to support the UK automotive industry, including reducing electricity costs for manufacturers, allocating £4 billion in capital and research and development funding for zero-emission vehicles, and launching a £2 billion grant to encourage the purchase of electric cars.
Unite general secretary Sharon Graham stated that years of under-investment, unsustainable mandates for zero-emission vehicles, and high energy costs are putting strain on the industry, and more action is needed. She mentioned that there have been extensive government discussions over the weekend aimed at finding ways to reduce the impact of these job cuts at JLR.
Last month, JLR reported a 9.6% year-on-year drop in revenue to £6 billion for the three months ending June 30, primarily due to a 9.2% decrease in car sales. This decline followed production disruptions, including a fire at a supplier’s factory. Earlier this year, JLR temporarily halted production of its Range Rover and Range Rover Sport models at its Solihull plant after a major fire at a component manufacturer’s facility in Norway. Jaguar has also stopped producing several diesel and petrol models, such as the F-Pace, as part of a shift toward electric vehicles.
JLR reported a pre-tax profit of £109 million for the quarter, compared to £351 million a year earlier, but this was impacted by a one-time provision related to U.S. fuel economy regulations and reduced tariffs between the U.S. and the UK. Earlier this year, JLR announced plans to cut around £1.7 billion in costs over the coming years to aid its recovery. The company is still working to bounce back from the cyberattack that affected its operations and had a significant impact on the business, its employees, and the UK economy. Production at its UK factories was halted for five weeks in late 2023, contributing to financial losses and reduced sales in the following months.
Jaguar Land Rover to Announce Major Job Cuts Amid Industry Challenges
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Original sources:
- 🇬🇧BBC Business
- 🇬🇧BBC Business
- 🇬🇧The Independent
- 🇬🇧BBC Business
- 🇬🇧The Independent
- 🇬🇧The Guardian World
- 🇬🇧The Independent
- 🇬🇧The Independent
- 🇬🇧BBC Business
- 🇬🇧The Guardian World
- 🇬🇧The Independent
- 🇬🇧The Independent
- 🇬🇧The Independent
- 🇫🇷RFI
- 🇬🇧The Independent
- 🇬🇧BBC Business
- 🇬🇧BBC Business
- 🇬🇧BBC Business
- 🇬🇧BBC Business
- 🇬🇧The Guardian World
- 🇬🇧BBC Business



