Stellantis could axe 1,400 jobs in France, say union sources

The logo of Stellantis is seen in this image provided on November 9, 2020. Communication FCA /Handout via REUTERS

PARIS, Jan 31 (Reuters) – Automaker Stellantis (STLA.MI) could cut up to 1,400 jobs in France this year as it continues to adapt to a changing industry, three union sources said a day before management and unions sit down to discuss pay and employment conditions.

A year after the creation of the giant French-Italian-American automaker, any discussion of job cuts in one territory is closely examined in other countries where it is present for signs of what may come there, too.

The company cut 1,380 jobs, all through voluntary redundancies, in France last year, according to a document seen by Reuters.

The three sources said the company was looking at a similar number for 2022.

“We are looking at the continuation of the same measures this year,” one of the sources said. “It should be, again, on average 1,300-1,400 redundancies this year.”

The numbers are broadly in line with previous rounds of job cuts at PSA, the French automaker that is now part of Stellantis.

Established automakers face pressure from new competitors such as Tesla (TSLA.O) and from an expected shift in demand towards electric vehicles (EVs).

Reporting by Gilles Guillaume
Writing by Gwladys Fouche
Editing by Richard Lough and David Goodman

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