Japan’s Nissan Motor announced cost-saving measures, including cutting 9,000 jobs, reducing its annual forecast for the second consecutive year, according to Reuters.
Nissan would also cut global production capacity by 20 per cent, CEO Makoto Uchida stated.
These turnaround measures do not imply that the company is shrinking. Nissan will restructure its business to become leaner and more resilient, while also reorganizing management to respond quickly and flexibly to changes in the business environment.
The company lowered its operating profit forecast for the fiscal year to 150 billion yen ($974.98 million) from 500 billion yen. Operating profit totalled 32.9 billion yen between July and September, down 85 per cent from 208.1 billion yen over the same period a year earlier.
Meanwhile, European companies are also reporting layoffs due to the high level of inflation and competition from China. On Wednesday, German automotive parts giant Bosch announced plans to lay off 7,000 employees due to ongoing business issues.
