Renault to cut 15,000 jobs in 'vital' cost-cutting plan

File: Four production sites in France could be closed or restructured, Renault said​​​​​​​.

File: Four production sites in France could be closed or restructured, Renault said.

Loic Venance/AFP

PARIS - Renault said it will cut nearly 15,000 jobs, including 4,600 at its core French operations, as it tries to regain its footing in the wake of plummeting car sales and the shift to electric vehicles.

"In a context of uncertainty and complexity, this project is vital to guarantee a solid and sustainable performance," interim CEO Clotilde Delbos said in a statement.

The cost-cutting plan, which was unveiled to labour representatives, aims to reduce overheads by two billion euros ($2.2-billion) over the next three years.

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Four production sites in France could be closed or restructured, the automaker said, and its hulking factory at Flins northwest of Paris will stop making the Zoe electric hatchback from 2024.

An additional 10,000 jobs will be cut outside France, with expansion plans now halted in Morocco and Romania, and under review in Russia.

Overall, Renault's production capacity will shrink to 3.3 million vehicles over the next four years, from four million currently.

Source
AFP