Jaguar Land Rover to cut almost 10% of staff as part of structural reform plan
British company Jaguar Land Rover plans to cut about 4,000 jobs, representing almost 10% of its global staff, through voluntary layoffs over the next two years in response to competition from China, customs tariffs, technological changes and geopolitical uncertainty, according to Reuters.
The luxury car manufacturer, owned by Tata Motors and employing about 43,000 people worldwide (including 34,000 in the UK), did not specify exactly where the cuts would take place, but the program would primarily target 26,000 full-time employees and senior staff. JLR aims to save 1.7 billion pounds and lower the profitability threshold to the level of annual production of 300,000 vehicles, simplifying its organization and making the business more sustainable. The restructuring is taking place against the backdrop of a devastating cyberattack in 2025, which led to a prolonged production shutdown and disrupted supplier operations.
current automotive news in our telegram channelDespite the reduction, JLR plans to bring five new products to market over the next 12 months and invest between 15 and 18 billion pounds over five years in electrification, digital technology, advanced manufacturing technology and improved customer experience. CEO P. B. Balaji noted that the industry is facing significant challenges due to fierce competition and constant uncertainty. This announcement is a blow to the UK government's economic program, which has prompted negotiations with JLR and trade unions, while local authorities have announced a support package of 500,000 pounds for employees who agree to voluntary redundancy.