Luxury British carmaker BENTLEY is to cut up to 1,000 jobs and has warned of more to come as it to limit the damage caused by the (COVID-19) Coronavirus pandemic. Bentley motors limited is a British manufacturer and marketer of luxury cars and SUV’s and is a subsidiary to the Volkswagen Group.
The Company, which is a part of Germany’s Volkswagen group, said it is looking to make the initial job cuts under a voluntary scheme but that future job cuts may be on a compulsory basis. With “deepest regret” it has informed its 4,200 workers of a programme to significantly reduce the size of the organization.
The outbreak of the Novel Coronavirus epidemic has dealt a shock to the global economy and is fast spreading its tentacles across the world. Hence, It is having a significant impact on all the aspects of the society, including the automotive industry.
Bentley said the covid-19 pandemic has derailed its growth plans and that “an urgent reduction in the workforce was unfortunately required. “Union Unite said the announcement was “another heavy blow” for the automotive industry.
Aston Martin said it was cutting up to 500 jobs while car dealership lookers plans to shed another 1500 jobs.
The Bentley chief executive, Adrian Hallmark said a no-deal Brexit could “compound the coronavirus disaster”, as talks continue between the UK and EU on the trading relationship beyond 2020.
However, the negotiation has a self-imposed deadline at the end of June by which they will have to agree on a deal, an extension beyond 31 December or another compromise. If they cannot, trade will default to World Trade Organisation, including tariffs on car exports.
The Bentley job comes a day after 2,000 redundancies were announced at Aston Martin and car dealership lookers.