Tata Motors-owned Jaguar Land Rover is planning to cut jobs as it scales back production at some of its United Kingdom sites amid what it termed as "headwinds" impacting the automotive industry.
"On Monday [16 April 2018] we will be cascading our 18/19 production plans for the next fiscal year to our workforce".
"We are however continuing to recruit large numbers of highly skilled engineers, graduates and apprentices as we over-proportionally invest in new products and technologies".
While the company did not release a figure, the United Kingdom media, including Reuters, reported that up to 1,000 jobs would be shed and production would be cut at its Solihuall and Castle Bromwich plants. "Following a review of planned volumes, we are planning to make some temporary adjustments to the production schedule at Halewood in Q2".
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British new vehicle registrations have been falling for a year which the auto industry body has partly blamed on weakening consumer confidence in the wake of the Brexit vote, after record demand in 2015 and 2016.
'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'. JLR employs 40,000 people in the UK. A source told the Reuters news agency that 1,000 roles would be cut.
"With the big turn against diesel engines, Jaguar Land Rover is particularly exposed as more than 90% of its United Kingdom sales are diesels".
"So in our home market, it's important that the economy can grow and that we have free opportunity to sell our cars".
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The latest set of cuts come in the wake of a weak United Kingdom market, with Jaguar sales down 26 per cent so far this year, compared with last year, while demand for Land Rovers in Britain is down 20 per cent.
Julian Knight, MP for Solihull, said: "The news that has come to us is disturbing, and I am in regular contact with JLR on this issue".
"The demonization of diesel is now having very real consequences for the United Kingdom vehicle industry, which is key to Britain's growth".
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