Jaguar Land Rover (JLR) stated on Wednesday it will reduce around 10% of the workforce at its northern English Halewood factory as it modifies shift patterns to boost performance at the site.
The factory produces the Range Rover Evoque and Land Rover Discovery Sport vehicles but the Unite Union cautioned that the obstacles facing the company are being experienced at other British auto factories as well.
JLR posted a 6% reduction in 2019 sales, hit by the weakening Chinese auto market and decreasing demand for diesel vehicles in Europe. But it has bounced back in China in recent months and total company sales increased by 1.3% in December.
“Jaguar Land Rover is taking action to optimize performance, enable sustainable growth and safeguard the long-term success of our business,” the company stated.
“Central to the Halewood manufacturing strategy, we are moving from a three-shift to a “two-plus” shift pattern from April 2020.”
About 4,5000 people are employed at the Halewood factory, one of three JLR car factories in Britain, with approximately 500 jobs affected by Wednesday’s announcement.
JLR, like most of the auto industry, has also dealt with the challenge of stepping up investment in zero and low-emission vehicles as regulations stricken while simultaneously dealing with a fall in demand for some conventionally powered models.