Nissan will reduce its production capacity and model range, and cut some 12,500 jobs worldwide, in a bid to turn its fortunes around, reported Autocar, a British motoring site.
The major restructure, which, Autocar said, was first reported by the Nikkei Shinbum media organis=zation in Japan, was confirmed by the company during the publication of its first quarter results for the 2019 financial year.
In the three-month period running from April to June Nissan’s net income was down 94.5% year-on-year, with sales down in several key markets.
The car maker announced 4,800 job cuts earlier this year, having suffered its lowest profits for almost 10 years.
The 12,500 job losses – around 9% of the firm’s global workforce – include 6400 the firm has already made. They come as a result of moves by Nissan to reduce its global production capacity by around 10%. There is no word yet on which of the firm’s plants will be affected, said the report.
Aside from manpower downsizing, Nissan also said it will reduce the size of its product line-up by around 10% by the end of 2022, and will “focus investment on global core models and strategic regional models,” said the report.
According to Nissan chief, Hiroto Saikawa, the models affected are likely to include compact cars and those from its Datsun sub-brand.
