Michelin To Cut Up To 2,300 Jobs Over Three Years
Published On 08-Jan-2021 00:42:01
Michelin employs more than 127,000 worldwide
French tyre maker Michelin has announced that it would cut up to 2,300 jobs over the next three years as part of a new simplification and competitiveness plan in France, adding this would not involve layoffs nor plant closures. The job cuts equate to almost 2% of its global workforce.
The auto industry has already been struggling with the shift to electric vehicles from diesel and gasoline cars, and the COVID-19 pandemic added to the woes of the automaker.
"The plan is part of a broad co-construction and social dialogue approach and will rely on negotiating a three-year framework agreement that will not entail any layoffs", Michelin said in a statement.
"The plan does not rely on plant closures", it added.
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Michelin said the measures would affect up to 1,100 positions in offices and 1,200 positions in plants, stressing nearly 60% of the job reductions would be based on voluntary early retirement schemes.
The company, which employs more than 127,000 worldwide, also said it remained committed to locating "high value-added businesses in France", saying its "ambitious expansion strategy in hydrogen solutions" was an illustration of this.