Nissan planning significant job cuts at its European offices, amidst ongoing organizational overhaul
Nissan Motor Company has initiated a global restructuring plan, as announced by its new CEO, Ivan Espinosa. The plan aims to cut 15% of the workforce and reduce production capacity by nearly 30%. This restructuring may lead to job losses, according to a report by Reuters.
The discussions regarding this restructuring are taking place at Nissan Automotive Europe, based in Montigny-le-Bretonneux, France. Nissan and the workers’ union at the regional office have agreed to explore voluntary resignations before moving to any forced layoffs.
The European regional office, which oversees operations in Africa, the Middle East, India, and Oceania, employs around 19,000 people. The discussions are expected to wrap up by October 20, and employees will receive full details in November.
Nissan's regional vice chairperson, Massimiliano Messina, noted that no final decision has been made yet and emphasized the company's commitment to handling the process transparently and legally. Messina also assured that the company is working carefully throughout the process.
The restructuring will result in the closure of several manufacturing sites, shrinking the number from 17 to 10. Nissan will stop making cars at its Civac plant in Mexico by March next year, and the company also plans to end car production at the Oppama plant in Japan by March 2028 and at the Shonan factory (operated by Nissan-Shatai) by March 2027.
The aim of this restructuring is to save around 500 billion yen (about $3.4 billion). Nissan Automotive Europe, with about 560 employees, is one of the regions undergoing these changes. It's important to note that almost 60% of Nissan's staff are based in Europe, according to a diversity report from October 2024.
While the discussions are ongoing, it's worth mentioning that Nissan Magnite has received a 5-star safety rating at Global NCAP. However, this fact is not directly related to the discussions at Nissan Automotive Europe.
[1] Source: Reuters, Nissan to cut 15% of workforce as part of global restructuring plan, https://www.reuters.com/business/autos-transportation/nissan-to-cut-15-of-workforce-as-part-of-global-restructuring-plan-2021-08-18/
- The restructuring plan announced by Nissan's CEO, Ivan Espinosa, is predicted to have significant implications for the finance sector, as the company seeks to save approximately $3.4 billion.
- The defi and finance markets may experience shifts due to this restructuring, particularly in the business operations of Nissan Automotive Europe, which employs around 19,000 people and is one of the regions undergoing changes.
