Nissan to cut over 10,000 jobs worldwide

25 Jul 2019 2075 | Business & Trade Fairs

Japanese car giant Nissan plans to cut more than 10,000 jobs worldwide, reports said yesterday, as it works to turn its fortunes around after its former chief was arrested over financial misconduct.

The cuts come after Nissan announced in May it would trim 4,800 posts from its global workforce of around 139,000.

The decision reflects the firm’s struggles in the wake of the arrest of Carlos Ghosn and a fall in sales in the United States and Europe.

In May, it reported net profit fell to a near-decade low and warned of “a difficult business environment” for the next 12 months.

A Nissan spokesman had no comment on the job cuts reports, which came before the firm announces its first-quarter results today.

“We’ve not decided yet what we’ll announce (at the Thursday earnings news conference), and we don’t comment on (media) speculation,” Nissan spokesman Koji Okuda told AFP.

The Nikkei business daily said yesterday that the firm would announce a 90 percent drop in operating profit for the first quarter owing to declining US sales.

The company has struggled in the US and Europe as it works through the aftermath of Mr Ghosn’s shock arrest.