Nissan 370Z Forum - View Single Post - Nissan announces layoff of 20,000 workers

zero · 02-09-2009, 04:13 PM

Here is the latest news on Nissan cutting jobs:
__________________________________________________
Nissan Says No More U.S. Job Cuts
By Dan Strumpf, AP Auto Writer
Manufacturing.Net - February 09, 2009

NEW YORK (AP) -- Nissan said Monday it does not expect more job cuts in the U.S. following its announcement of 20,000 cuts worldwide.

"We don't anticipate that you'll see further extensive job actions as part of that 20,000, because we've already made those job actions in the U.S.," said Alan Buddendeck, vice president of corporate communications for Nissan North America.

On Monday, Nissan Motor Co. in Tokyo said it expected a 265 billion yen ($2.9 billion) loss for the fiscal year ending in March, and said it planned to cut 20,000 jobs worldwide, or 8.5 percent of its 235,000-strong global work force, by March 2010.

Some 12,000 of the job cuts will be in Japan, including group companies, and the rest will be overseas, the company said.

Buddendeck said recent job cuts at Nissan's U.S. operations have already been factored into the global target and no other major announcements are planned.

Last July, Nissan said it would offer buyouts to about 6,000 employees at its plants in Smyrna and Decherd, Tenn., with the aim of cutting 1,200 jobs. The Smyrna plant manufactures pickups, sport utility vehicles and the Altima sedan, while the Decherd facility makes engines for all the Nissan and Infiniti vehicles produced in the U.S.

At the time, Nissan attributed the cuts to surging fuel prices and plummeting demand for trucks and SUVs. Since then, vehicle demand in the U.S. has collapsed across the board, with pickup sales continuing to fall due to the slowdown in housing construction. Last week, Nissan said its U.S. sales in January fell 30 percent. Industrywide sales fell 37 percent.

In November, Nissan said it met its job reduction goals at the two plants. Then in January, the company said it planned to cut 110 white-collar jobs and close four regional sales offices in the U.S. in a restructuring move designed to improve service to dealers.

Nissan spokesman Fred Standish said the company employs between 13,000 and 14,000 people in the U.S.

The company also confirmed on Monday that it had submitted an application to the U.S. Department of Energy for a portion of the $25 billion loan program. The program was designed to help automakers retool their plants to build more fuel-efficient vehicles.

Standish said the automaker submitted its application on Dec. 22 and said it was still in the application process. He said its Smyrna plant, built in 1983, is the only one of Nissan's three plants in the U.S. that would meet the loan's criteria.

The Energy Department has received more than 70 applications for the loan program, including requests from Detroit's automakers, Tesla Motors Inc., which builds an all-electric two-seat sports car, and several battery manufacturers.

Energy spokesman Dan Leistikow said Secretary Steven Chu hoped to provide some of the loan funding "within the next two months."

Honda Motor Co. spokesman Ed Miller said the automaker has no plans to apply for the loan. Toyota did not immediately return calls seeking comment.

U.S.-traded shares of Nissan on Monday fell 24 cents, or 3.9 percent, to $5.97 in afternoon trading.

02-09-2009, 04:13 PM	#14 (permalink)
zero A True Z Fanatic Join Date: Dec 2008 Location: Southern California Posts: 1,259 Drives: MK 7.5 Golf R Rep Power: 23	Here is the latest news on Nissan cutting jobs: __________________________________________________ Nissan Says No More U.S. Job Cuts By Dan Strumpf, AP Auto Writer Manufacturing.Net - February 09, 2009 NEW YORK (AP) -- Nissan said Monday it does not expect more job cuts in the U.S. following its announcement of 20,000 cuts worldwide. "We don't anticipate that you'll see further extensive job actions as part of that 20,000, because we've already made those job actions in the U.S.," said Alan Buddendeck, vice president of corporate communications for Nissan North America. On Monday, Nissan Motor Co. in Tokyo said it expected a 265 billion yen ($2.9 billion) loss for the fiscal year ending in March, and said it planned to cut 20,000 jobs worldwide, or 8.5 percent of its 235,000-strong global work force, by March 2010. Some 12,000 of the job cuts will be in Japan, including group companies, and the rest will be overseas, the company said. Buddendeck said recent job cuts at Nissan's U.S. operations have already been factored into the global target and no other major announcements are planned. Last July, Nissan said it would offer buyouts to about 6,000 employees at its plants in Smyrna and Decherd, Tenn., with the aim of cutting 1,200 jobs. The Smyrna plant manufactures pickups, sport utility vehicles and the Altima sedan, while the Decherd facility makes engines for all the Nissan and Infiniti vehicles produced in the U.S. At the time, Nissan attributed the cuts to surging fuel prices and plummeting demand for trucks and SUVs. Since then, vehicle demand in the U.S. has collapsed across the board, with pickup sales continuing to fall due to the slowdown in housing construction. Last week, Nissan said its U.S. sales in January fell 30 percent. Industrywide sales fell 37 percent. In November, Nissan said it met its job reduction goals at the two plants. Then in January, the company said it planned to cut 110 white-collar jobs and close four regional sales offices in the U.S. in a restructuring move designed to improve service to dealers. Nissan spokesman Fred Standish said the company employs between 13,000 and 14,000 people in the U.S. The company also confirmed on Monday that it had submitted an application to the U.S. Department of Energy for a portion of the $25 billion loan program. The program was designed to help automakers retool their plants to build more fuel-efficient vehicles. Standish said the automaker submitted its application on Dec. 22 and said it was still in the application process. He said its Smyrna plant, built in 1983, is the only one of Nissan's three plants in the U.S. that would meet the loan's criteria. The Energy Department has received more than 70 applications for the loan program, including requests from Detroit's automakers, Tesla Motors Inc., which builds an all-electric two-seat sports car, and several battery manufacturers. Energy spokesman Dan Leistikow said Secretary Steven Chu hoped to provide some of the loan funding "within the next two months." Honda Motor Co. spokesman Ed Miller said the automaker has no plans to apply for the loan. Toyota did not immediately return calls seeking comment. U.S.-traded shares of Nissan on Monday fell 24 cents, or 3.9 percent, to $5.97 in afternoon trading.