Sportscar manufacturer Lotus cuts 550 jobs

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Lotus Automobiles is to chop 550 jobs within the UK – however the sportscar producer insists it stays “absolutely dedicated” to constructing within the UK.

Hypothesis earlier this yr prompt Lotus might shut a manufacturing facility in Norfolk and relocate to the US. Nevertheless, the agency rejected that and after a assessment of choices throughout the worldwide market, the carmaker has as an alternative selected altering their work method throughout the enterprise.

That can consequence within the job losses, however offers a “sustainable future” for the corporate which, like different automobile producers, has seen tariff uncertainty and pricing battles influence on profitability and planning.

“Following a assessment of Lotus Automobiles enterprise aims according to the present market circumstances, the corporate has introduced a restructuring proposal, which anticipates a discount of as much as 550 roles throughout the enterprise within the UK,” stated an announcement from the corporate despatched to The Unbiased.

“The proposal is designed to allow Lotus Automobiles to function with a versatile and agile enterprise mannequin, permitting it to ramp operations and sources according to demand, as and when wanted.

“We consider that is obligatory so as to safe a sustainable future for the corporate in at the moment’s quickly evolving automotive setting, which is seeing uncertainty with speedy adjustments in international insurance policies together with tariffs.”

Daniel Elmer, chief of South Norfolk Council, instructed the BBC: “We are going to proceed to work with Lotus, however our precedence now should be the people who find themselves dropping their jobs, and we might be working with the county council to place in place help packages.”

The corporate additionally confirmed that the continuing plan to deliver all operations collectively would see Lotus UK owned totally by Lotus Know-how.

“This proposed restructuring is important to enhancing our future competitiveness available in the market. The model stays absolutely dedicated to the UK, and Norfolk will stay the house of the Lotus’ sports activities automobile, motorsports and engineering consulting operations,” it stated, whereas including “third-party manufacturing” was a future risk.