Nissan Plans Global Layoffs and Production Reductions
Japanese automaker Nissanannounced that it aims to lay off 9 employees worldwide and reduce its global production capacity by 20%. This step is seen as part of the company's efforts to achieve a more resilient and efficient structure.
Nissan aims to reduce costs fixed costs 300 billion yen (approximately 2 billion dollars), variable costs are 100 billion yen (approximately 650 million dollars) plans to reduce. In order to achieve these goals, the company has decided to reduce its global production capacity by 20% and limit its workforce to 9 people.
Nissan Chief Executive Officer (CEO) Makoto Uchida, emphasized that these transformation measures do not mean the company will shrink, and said, “Nissan will restructure its activities to achieve a leaner and more durable organizational structure. At the same time, it will revise its management structure to respond quickly and flexibly to changes in the business environment.”
The company revised its profit forecast for the second time this year, with expected profit for the fiscal year coming in at 500 billion yen (approx. 3,2 billion dollars) level to 150 billion yen (approx. 976 million dollars) stated that he hoped it would drop to the level of .
Nissan, Japan's third-largest automaker, also said its global sales fell 3,8% to 1,59 million units in the first half of the fiscal year.
