Jaguar Land Rover to shed 1000 contract staff

Jaguar Land Rover to cut jobs and production – and to blame Brexit

Output at the company's Solihull and Castle Bromwich plants will be cut, with staff set to be formally informed of the changes during a meeting on Monday, according to the manufacturer.

The UK's biggest carmaker blamed the "continuing headwinds" affecting the vehicle industry for the move.

It will announce its plans for 2018/19 to its workforce on Monday.

The Solihull plant employs around 10,000 people, including 2,000 contract workers.

It continued: "We are, however, continuing to recruit large numbers of highly skilled engineers, graduates and apprentices, because we are over-proportionally investing in new products and technologies".

Longstanding effects of the ongoing diesel emissions scandal, which include the raising of tax on diesel cars, has driven down demand for diesel cars so that they now represent just 33.5% of the new vehicle market - a 10.5% decrease on a year ago.


Despite strong global sales, industry figures showed UK Jaguar sales down 26 per cent on a year ago in the first three months, with Land Rover down a fifth.

'We also remain committed to our United Kingdom plants in which we have invested more than £4 billion since 2010 to future proof manufacturing technologies to deliver new models'.

Earlier in 2018 JLR cut production at the Halewood, Merseyside plant, citing Brexit uncertainty and the dwindling market for diesel cars. A source told the Reuters news agency that 1,000 roles would be cut.

'With JLR's United Kingdom production facilities exporting around 75 per cent of its vehicles and importing many parts from the European Union, this action is in part an effort to help mitigate potentially-costly tariffs, which could significantly damage its bottom line.

"This is desperately bad news for all those affected and a worrying sign of how the deep uncertainty around Brexit is continuing to damage Britain's economic performance", said Peter Kyle MP, a member of the pro-Remain, Open Britain campaign, condemning the government's decision to rule out single market and customs union membership.

He said: "JLR appears to be especially exposed as over 90 per cent of sales are diesel".

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