Skip advert
Advertisement

Honda announces UK job losses

Honda plans to cut 800 jobs from its Swindon plant, with current overcapacity and low European demand the main reasons

Honda announces UK job losses

Honda has announced that it is planning to cut 800 jobs at its Swindon plant, due to overcapacity caused by sustained low demand in European markets. This is the first time that the Japanese company, which started production at the UK factory in 1989, has considered job cuts.

The company’s poor sales in Europe have led to unsustainable overcapacity. Currently the plant is geared up to produce 250,000 cars a year, including the new Civic, Jazz and CR-V models. Despite strong UK car sales in 2012 for most manufacturers, Honda only produced 166,000 cars.

Advertisement - Article continues below

Currently Honda employs 3500 people at the plant, and after increasing its workforce by 500 workers last year, has entered a 90-day consultation period to solve its current European crisis with a total of 800 workers set to be lost.

Ken Keir, executive vice president of Honda Motor Europe, commented: ‘Sustained conditions of low demand in European markets make it necessary to re-align Honda's business structure. As such, Honda of the UK Manufacturing (HUM) will enter into formal consultation with its associates to consider these changes and the proposal that it will reduce the workforce by 800 associates by spring 2013.

‘Honda remains fully committed for the long term to its UK and European manufacturing operations. However, these conditions of sustained low industry demand require us to take difficult decisions.’

Skip advert
Advertisement
Skip advert
Advertisement

Most Popular

Michelin Pilot Sport S 5 2025 review – 'N0' tyre makes Porsche GT3 RS a wet weather weapon
Michelin GT3 RS tyre
Reviews

Michelin Pilot Sport S 5 2025 review – 'N0' tyre makes Porsche GT3 RS a wet weather weapon

Michelin has developed a wet and cold weather tyre for the Porsche 911 GT3 RS and it’s brilliant
23 Apr 2025
Why the Vauxhall Astra should have been given a different name
Vauxhall Astra GSE
Opinion

Why the Vauxhall Astra should have been given a different name

It’s time to reassess a perennially underrated hatchback, says Porter
17 Apr 2025
Ferrari Elettrica confirmed for October reveal
Ferrari EV spies
News

Ferrari Elettrica confirmed for October reveal

Ferrari will reveal its first all-electric car in October 2025 and it will be called: Elettrica
22 Apr 2025