Britain's biggest carmaker cuts 1,000 jobs

The UK's biggest auto manufacturer -- Jaguar Land Rover -- is cutting 1,000 jobs in its home market as Brexit and slu...

Posted: Apr 16, 2018 1:43 PM
Updated: Apr 16, 2018 1:43 PM

The UK's biggest auto manufacturer -- Jaguar Land Rover -- is cutting 1,000 jobs in its home market as Brexit and slumping sales hit the quintessentially British brand.

Jaguar Land Rover -- which is owned by India's Tata Motors -- employs about 40,000 workers in the UK who produce over 500,000 vehicles a year.

The company is cutting the jobs at a factory in Birmingham that manufactures the Jaguar F-Pace along with the Land Rover Discovery and various Range Rover models.

It said that a sharp decline in British car sales caused by a loss of consumer confidence contributed to the decision. Jaguar Land Rover's UK sales in March were down 26% compared to the same month last year. Car sales across the industry were down nearly 16%.

Brits have cut back on big-ticket purchases as their wages have been squeezed by a rise in inflation, a side effect of the Brexit referendum in 2016. A sharp drop in the pound following the vote made imported products more expensive and ultimately caused inflation to spike above 3%.

Related: Elon Musk promises Tesla will soon make money

Demand for Jaguar Land Rover cars has also fallen in Europe due to fallout from the diesel emissions scandal.

Jaguar Land Rover pointed out that "the huge drop in demand in diesels" led to its decision not to renew the contracts of 1,000 workers.

European governments are looking to clamp down on diesel sales after an outcry over the environmental damage caused by the engines. This has even led to calls for bans on heavily polluting diesel cars in some cities.

Drivers are holding off buying new diesel cars as they await clear government guidance on the future.

Related: German cities could ban some diesel cars

The UK's auto manufacturing sector employs over 800,000 workers but Brexit presents a big risk to the industry.

Carmakers rely on free, frictionless trade to get parts and make sales across the 28 nations in the European Union.

Jaguar Land Rover CEO Ralf Speth said earlier this year in an interview with Reuters that Brexit uncertainly was "really challenging" his company and the auto industry as a whole.

"You hardly see inward investment any more or every decision is taking longer," he said.

Auto makers are concerned that Brexit could lead to new tariffs, taxes and transit slowdowns at the UK border.

"A final deal that keeps our frictionless trade links with our biggest market, the EU ... is now a pressing priority," Mike Hawes, the head of the UK Society of Motor Manufacturers and Traders, said in a statement last month.

-- Ivana Kottasova contributed to this article

Mississippi Coronavirus Cases

Data is updated nightly.

Cases: 259117

Reported Deaths: 5668
CountyCasesDeaths
DeSoto17436187
Hinds16524328
Harrison13876199
Rankin11000217
Jackson10652187
Lee8981141
Madison8413168
Jones6552112
Forrest6101121
Lauderdale6034189
Lowndes5463119
Lafayette507393
Lamar496465
Washington4877124
Bolivar4068109
Oktibbeha401681
Panola378380
Pontotoc372155
Monroe3628105
Warren3619101
Union350563
Marshall349569
Neshoba3433152
Pearl River3380104
Leflore3079108
Lincoln300687
Sunflower289272
Hancock285360
Tate276762
Alcorn268854
Pike266580
Itawamba266261
Scott253448
Yazoo250156
Prentiss249552
Tippah245850
Copiah244549
Coahoma243654
Simpson240069
Leake234367
Grenada221171
Marion218473
Covington216972
Adams210170
Wayne206432
Winston205267
George202739
Attala195761
Newton195745
Tishomingo192461
Chickasaw186144
Jasper176038
Holmes169868
Clay162735
Tallahatchie154935
Stone148424
Clarke143562
Calhoun138021
Smith125825
Yalobusha120234
Walthall113437
Greene112129
Noxubee111425
Montgomery110936
Carroll105922
Lawrence104317
Perry103231
Amite99926
Webster94324
Tunica87621
Jefferson Davis87327
Claiborne86825
Benton84023
Humphreys83624
Kemper79120
Quitman7029
Franklin68716
Choctaw62313
Wilkinson58825
Jefferson55920
Sharkey44217
Issaquena1606
Unassigned00

Alabama Coronavirus Cases

Cases: 432536

Reported Deaths: 6379
CountyCasesDeaths
Jefferson63523957
Mobile30967562
Madison27627201
Tuscaloosa21122268
Montgomery19495326
Shelby18941126
Baldwin16798188
Lee12901102
Morgan12447129
Etowah11911178
Calhoun11365205
Marshall10322119
Houston8813156
Limestone823176
Cullman8159106
Elmore8056104
DeKalb7796102
Lauderdale773399
St. Clair7705122
Talladega6347109
Walker5993174
Jackson590341
Colbert543274
Blount541186
Autauga527061
Coffee454160
Dale405482
Franklin371948
Russell345712
Chilton340972
Covington334168
Escambia328344
Dallas310196
Chambers297370
Clarke290536
Tallapoosa2665107
Pike258830
Marion250155
Lawrence249150
Winston231442
Bibb219848
Geneva206946
Marengo205229
Pickens198631
Hale180842
Barbour177836
Fayette174528
Butler171358
Cherokee162530
Henry157523
Monroe150718
Randolph143236
Washington139527
Clay128546
Crenshaw121644
Cleburne119724
Lamar119621
Macon119637
Lowndes112536
Wilcox105822
Bullock101428
Perry99118
Conecuh96320
Sumter89726
Greene76723
Coosa62215
Choctaw51624
Out of AL00
Unassigned00
Tupelo
Clear
45° wxIcon
Hi: 57° Lo: 45°
Feels Like: 39°
Columbus
Clear
47° wxIcon
Hi: 55° Lo: 46°
Feels Like: 45°
Oxford
Clear
43° wxIcon
Hi: 55° Lo: 42°
Feels Like: 39°
Starkville
Clear
41° wxIcon
Hi: 54° Lo: 45°
Feels Like: 41°
WTVA Radar
WTVA Temperatures
WTVA Severe Weather