Biggest Job Cuts by Global Automakers: Volkswagen, GM, and Ford Layoffs
Major Layoff Announcements in the Automotive Industry
June 26 (Reuters) - Auto giant Volkswagen's potential plan to shutter four German factories and ramp up job cuts to as many as 100,000 could be the biggest ever overhaul in the industry.
The carmaker faces mounting pressure from Chinese rivals, stiff tariffs on car imports into the United States, as well as dwindling demand in Europe, which the company has said makes its business model unsustainable.
Here are some of the biggest workforce cuts ever announced by global automakers:
General Motors Layoffs
December 1991: Massive Workforce Reduction
General Motors, December 1991
Laid off: 74,000
General Motors unveiled a plan to cut 74,000 jobs and close 21 plants as the auto industry struggled with staggering losses amid weak demand and more competition from Japanese carmakers.
2006-2009: Factory Job Cuts
General Motors, 2006-2009
Laid off: 60,500
Between 2006 and 2009, the automaker slashed 60,500 factory jobs, half of its factory work force.
The company also planned to cut 20% of its white-collar workforce, but did not provide absolute figures. Its salaried employees count stood at 110,000 in December 2005.
February 2009: Restructuring and Government Aid
General Motors, February 2009
Laid off: 47,000
General Motors said it would cut 47,000 jobs over the year as part of a restructuring program in which the automaker also said it would need $30 billion in taxpayer funding to survive.
Ford Motor Layoffs
January 2002: Global Job Cuts
Ford Motor, January 2002
Laid Off: 35,000
In 2002, Ford said it would cut 35,000 jobs worldwide, close five North American plants and slash its production capacity by 16% as part of a sweeping restructuring plan.
Volkswagen Layoffs
January 1993: Worldwide Reductions
Volkswagen, January 1993
Laid Off: 30,000
Volkswagen said it would cut 30,000 jobs in plants worldwide by the end of 1994, as part of a plan set by its four marques, VW, Audi, SEAT SA and Skoda.
(Reporting by Aishwarya Jain in Bengaluru; editing by Arpan Varghese and Devika Syamnath)
