Toyota to cut UK production
Mar 10 2009 by Iain Laing, The Journal
TOYOTA is planning to cut production at its UK factories in a fresh move to reduce costs.
The firm is set to announce on Wednesday whether it will introduce a shorter working week or a temporary shutdown of its sites at Burnaston, near Derby, and Deeside in North Wales.
A company spokesman said: “We have to reduce our costs further. Our employees recognise that and we are seeking agreement with the unions.”
The company, which employs 3,900 at Burnaston and 570 at Deeside, has already cut 200 temporary jobs and opened a voluntary redundancy scheme last week.
Toyota has also scrapped the annual pay increase for employees and cancelled management bonuses, while both factories have just finished a fortnight’s shutdown. The new cuts are in addition to these measures.
The plant in Burnaston makes the Avensis and Auris models, with 85% of output exported. The firm’s European sales were down by 10% last year.
Motor manufacturing has been badly hit by the recession with hundreds of UK job cuts announced including 220 by Bentley, 450 by Jaguar Landrover and 1,200 by Nissan at its Washington plant on Wearside.
