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Japan

Carmarkers cut nearly 2,000 jobs

Article published on the 2008-11-27 Latest update 2008-11-27 12:42 TU

(Photo: Reuters)

(Photo: Reuters)

Japanese carmakers Mitsubishi Motors and Subaru-maker Fuji Heavy Industries have announced more layoffs throughout the sector Thursday in order to deal with the global economic slowdown. Mitsubishi Motors will not renew 1,100 temporary jobs at the end of March, and will again cut back on production, reducing its output a further 30,000 vehicles. This adds to the production cutback announced last month of 80,000 cars.

Mitsubishi Motors is struggling to recover from a defect cover-up scandal, diminishing buyer confidence, but other companies have had to scale back on workers and production as well.

Fuji Heavy Industries announced 800 temp worker layoffs to take place in December. The Subaru makers will also reduce domestic production by 40,000 vehicles for the first quarter of 2009.

Toyota Motor Corp announced it will axe half of its domestic temporary workforce-- some 3,000 jobs.

Japan's number three automaker, Nissan Motor, is spreading layoffs throughout its operations, cutting 3,500 jobs worldwide.

Mazda is scrapping 1,300 temporary jobs while Isuzu, a truckmaker, is axing 1,400 Japan-based jobs.