Currently reading: Honda to cut 800 UK jobs

The announcement follows what Honda describes as "sustained conditions of low demand in European markets".

Honda has announced it will cut 800 jobs from its UK operations by this spring.

The announcement follows what Honda describes as "sustained conditions of low demand in European markets". It describes the moves as necessary in order to ensure the long-term stability of its future business.

"Honda remains fully committed for the long-term to its UK and European manufacturing operations,” said Ken Keir, Executive Vice President, Honda Motor Europe. "However, these conditions of sustained low industry demand require us to take difficult decisions. We are setting the business constitution at the right level to ensure long term stability and security.”

Honda's plant in Swindon has capacity to build 250,000 cars a year, but last year built just 166,000.

Honda's UK sales rose 7.18 per cent last year, but its market share fell slightly to 2.61 per cent, despite the full launch of its all-new Honda Civic. UK sales struggles have been reflected throughout Europe.

Join our WhatsApp community and be the first to read about the latest news and reviews wowing the car world. Our community is the best, easiest and most direct place to tap into the minds of Autocar, and if you join you’ll also be treated to unique WhatsApp content. You can leave at any time after joining - check our full privacy policy here.

Join the debate

Comments
24
Add a comment…
lilibeth 14 January 2013

Obviously the reason of this

Obviously the reason of this is the recession which had a buy likes on facebook adverse effect to business like Honda. Honda operated not just in Europe, but also in North America, Japan, and Asia. A sustained loss of consumer confidence in the markets, which may be caused by continued economic slowdown, recession, rising fuel prices, financial crisis or other factors could trigger a decline in demand for automobiles, motorcycles and power products that may adversely affect Honda’s results of operations. And by this Honda had buy facebook page likes cut off most of its jobs, which affects the people. 

The Apprentice 12 January 2013

Toooo slow..

Not the cars, Honda management.

When I got my CR-V in 2010 it was the newly revised model with the new DTEC version engine. CO2 was still 171g/km.. I needed it be 159 or better, many other brands managed it, even Toyota got the ancient Rav4 quickly under 160.

Here we are 2 years later and the new CR-V (largely the same as the old CR-V) with another rehash of the engine and NOW they get it down to 148..fine, woopee doo! but they should have done this 2 whole years ago when they 1st fitted the DTEC.

A lot of companies ban users from cars over a certain CO2, even the 160 tax break level is too high for many. This decision by Honda effectively excluded themsleves from a  large portion of company sales for 2 year, but they have demonstrated with the new model they had the technical ability to do it. Didn't even need to be as clean as it is now, just 159 would have done it.

Someone (or a whole team) need firing!

 

Flash Harry 12 January 2013

 It is sad to see a company

 It is sad to see a company like Honda who were way ahead of the pack once fall so far behind.They need to sort out their styling and pricing to at least claw something back.