JLR confirms UK job cuts

Jaguar Land Rover is cutting 500 jobs at its Halewood factory on Merseyside. The job losses are part of JLR’s strategy to cut 4,500 jobs globally to reverse losses.

The company said in a statement: “Through its ongoing transformation programme, Jaguar Land Rover is taking action to optimise performance, enable sustainable growth and safeguard the long-term success of our business.

“Central to the Halewood manufacturing strategy, we are moving from a three shift to a “two-plus” shift pattern from April 2020. This will deliver significant operating efficiencies at the plant, while enabling us to meet the growing customer demand for our new Range Rover Evoque and Land Rover Discovery Sport.

“This change in shift pattern affects around 10% of Halewood’s workforce.

“Jaguar Land Rover Halewood employees have the opportunity to leave through an enhanced voluntary redundancy programme.”

Christian Stadler, professor of strategic management and an automotive industry expert at Warwick Business School, said: “These cuts are not entirely surprising, as they are part of 4,500 jobs losses that JLR previously announced as part of a transformation process to help it compete in a challenging marketplace.

“However, they come at a bad time for UK car manufacturing, with JLR posting a 6 per cent fall in sales during 2019 amid lower demand from China and fewer diesel sales in Europe.

“This could be just a taste of things to come if the government proceed with their recent announcement that they will not pursue regulatory alignment with the EU after Brexit.

“Car parts move back and forth across the English Channel several times during the production process. Unless that remains as frictionless as possible, UK manufacturers will find it increasingly difficult to compete.

“This should come as no surprise to the government. JLR has been outspoken about what that will mean for the British car-making industry. It has also expanded its facilities in the Czech Republic in recent years.

“If the UK government makes trade with the EU too difficult, it would be logical for JLR to expand further on the continent, rather than in the UK.”