Jaguar Land Rover (JLR) has confirmed it will be cutting 4,500 as part of a £2.5bn cost-cutting plan.
Of its 40,000-strong workforce, it is expected that it will be mostly management, marketing and administrative roles which are affected although that some production employees will be cut. Last year, it also made the decision to cut 1,500 jobs.
This news has come as the company reported a drop in sales in its full year financial results.
JLR’s retail sales in 2018 totalled 592,708, down 4.6% on 2017 where it saw a record number of sales. This was attributed to “ongoing challenging market conditions” in China and a decreased demand for diesel cars.
Felix Brautigam, Jaguar Land Rover chief commercial officer, said: “We have seen a strong end to the year in North America, Europe and the UK. Sales were up despite challenging market conditions, including regulatory changes and diesel uncertainty, which have impacted sales performance throughout the year. The UK’s performance in particular has been encouraging in a market segment which is down.
“The economic slowdown in China along with ongoing trade tensions is continuing to influence consumer confidence. The impact is being felt across several industries globally. Despite this we continue to work closely with retailers and are taking the necessary actions to balance production with demand in order to rejuvenate sales as part of our turnaround plan for the business.”