Renault to slash 1,200 jobs
Overall the plant has about 8,000 employees
By : DC Correspondent
Update: 2015-08-21 06:39 GMT
Chennai: Renault Nissan alliance has decided to reduce the number of workforce in its Oragadam factory near Chennai. Sources said that around 1200 people, mostly contract workers and trainees, would loose jobs.
Confirming the development, the alliance spokesperson told this newspaper that it is part of business optimisation strategy. “We have a production cycle in our plant. When we are not in a peak period, the company will adopt optimisation process. It is a normal strategy” the spokesperson said.
Overall the plant has about 8,000 employees. In a separate statement the company spokesperson said that India is a dynamic market. “To adapt to the volatile business environment and consistent to our strategy, Renault-Nissan is continuously adapting to market needs to optimise manufacturing operations. Renault-Nissan has made significant investment in India to establish a world class manufacturing plant with 4,00,000 capacity. The plant caters to Nissan, Datsun and Renault brands for both domestic and export requirements,” said the spokesperson.
Even after the Indian auto market has started recovery, Renault and Nissan are struggling to increase their sales putting pressure on them to slash jobs.