All seemed to be rosy for Jaguar at the 2009 Detroit Auto Show – with the British automaker unveiling new high-performance XFR and XKR models – but the now Tata-owned Jaguar Land Rover group is facing some very serious perils, with further job cuts on the way.
Earlier on Wednesday, Jaguar Land Rover announced that it will be cutting 450 jobs in the wake of collapsing sales and a slumping global economy. JLR will be eliminating about 15 percent of its managers – representing 300 positions – and cutting another 150 salaried employees from its global workforce. JLR employs about 15,000 workers globally, according to Reuters. Jaguar eliminated almost 1,400 jobs in 2008.
Additionally, managers will not receive bonuses in 2009, with pay increases put off until at least October 1st, 2009.
“Overall, the global auto market is considerably down, particularly in markets like the United States and the UK, and it’s basically because customers cannot raise credit to buy new cars,” a Jaguar Land Rover spokesman told Reuters.
Further cuts are likely as JLR Chief Executive David Smith doesn’t “expect sales conditions to return to normal levels for some time.”
01/14, 5:36 PM
posted by:
mayer_ray_nagin
Welcome to New Delhi, brits. All TATA factories have a soup kitchen ’round back for you to enjoy.
01/14, 5:46 PM
posted by:
inline6
Wow…so 450 cuts and suspended bonuses are “serious peril”, eh? Most companies in America are suspending bonuses, freezing wages, etc – even if they’re doing just fine.
It’s called “being prepared to weather the storm”.
01/14, 6:04 PM
posted by:
Mutant@DCX
Apu: Well, it may not pay much, but at least it’s good, honest work.
Kwik-E-Mart Customer: How much for this expired carton of milk?
Apu: Twelve dollars!
01/14, 7:07 PM
posted by:
howsmydriving
How will this affect Indian-Pakistani relations? The article doesn’t say, leaving readers to speculate.
01/15, 2:42 AM
posted by:
teahead
Revenge for British rule in years past.
01/15, 6:21 AM
posted by:
fan
put off bonuses? how is that noteworthy? i take it, all automakers are seeling less now than they did in last years 1st quarter or in 2007s 1st quarter, so why should their managers get a bonus for that? loosing ground?
thats where all the extra-bucks go you have to pay for anything on the upgrade list… ever thought about how the car industry alongside maybe the petro-companies are the only ones to actually raise their prices when everything else is getting cheaper?
01/15, 6:25 AM
posted by:
fan
dont get me wrong, i think its just fair that jaguar puts off bonuses, but even daring to note that as a headline… its what all others should do, too. make the ceos and their bunch earn less anyway; alongside top-management… will it really hurt them to earn only 49gazillions instead of 51gazillions a month? dont think so.
then, increase shareholder benefits alongside “average employee wages”, and reduce prices… thats way to go… but, of course, the ceos couldnt afford their 72nd ivory backscratch then anymore… poor them…
01/15, 8:09 AM
posted by:
Gundy
“…but, we will somehow still put out a mid-engine car to rival other manufacturers..” TANKS FOR NUT’IN’.. (it’s been way too long without a Caddy Shack “misquote”)..