Nissan cuts 12,500 jobs globally as car manufacturer struggles to boost profits

CAR manufacturer Nissan has revealed plans to axe more than 12,500 jobs around the world.

The figure is much higher than the 10,000 jobs cuts that had been expected.

Around 6,400 of the job cuts have already happened or are in the process of taking place - with 90 people in the UK affected.

Nissan has a big plant in Sunderland, which currently employs around 7,000 people and produces 2,000 cars a day, although it says the UK roles going will be all over the country.

Last April, Nissan cut hundreds of jobs at the plant due to a lack of demand for diesel cars.

It also cancelled the production of two of its models at the Sunderland factory this year following disappointing European sales.

But it has said the next generation Qashqai model will be built in the north-east of England, while production on the new Juke small crossover will start imminently.

The manufacturer isn't confirming where in the world or what department the other 6,100 job cuts will come from, but it says these will take place between the 2020/21 and the 2022/23 financial years.

The cuts will see Nissan's total workforce fall by around 9 per cent.

Nissan has also announced plans to cut its global products by 10 per cent by the end of the 2022/23 financial year.

The move comes as the car maker is struggling to boost its profits.

Nissan is suffering from falling sales in the US, one of its biggest overseas markets, following years of heavy discounts.

In its financial results published today, global sales between April and June were down 6 per cent compared to the same period last year, to 1.23million units.

With sales down in Asia and Oceania, Europe, Latin America, the Middle East and Africa.

Nissan has also been facing tensions with its French partner Renault, which owns 43 per cent of the Japanese manufacturer, after a scandal surrounding Nissan's former boss Carlos Ghosn.

Mr Ghosn allegedly swindled Nissan out of more than £34million by under-reporting his income but he denies any wrongdoing.

But Nissan is not the first car manufacturer to announce cuts of late.

In June, Ford announced it's making cuts to its British workforce by getting rid of 3,100 jobs in the next 18 months.

While in the beginning of the year, Jaguar Land Rover said it will be culling up to 4,500 jobs.

Britain's largest car maker then reported a record £3.6billion loss in May.

Meanwhile, Honda is set to close its factory in Swindon in 2021 with 3,500 jobs facing the chop.

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