Japan's public broadcaster NHK said today, Monday, May 12 that Nissan Motor will cut an additional 10,000 jobs internationally, increasing the total number of job cuts, including previously announced layoffs, to almost 20,000, or 15 per cent of its workforce.
The struggling Japanese automaker warned last month that impairment charges will likely result in a record 700 billion to 750 billion yen ($4.74 billion-$5.08 billion) net loss for the fiscal year ending in March.
Nissan will disclose its full-year results on Tuesday, Mayb13. The corporation has declined to comment on the report, Reuters reports.
In January, Nissan announced to cut production in its American factories and offered buyouts for their employees, as part of a plan to cut 9,000 jobs due to quarterly losses caused by ballooning inventory and declining sales.
The workforce cuts of 9,000 persons amounted to roughly 6 per cent of its more than 1,33,000 global employees. The corporation has reduced its global production capacity by 20 per cent.
These shifts coincide with major shifts at Nissan. The fallout of the Honda-Nissan merger in February thwarted plans to create the world's fourth-largest carmaker, trailing only Toyota, Volkswagen, and Hyundai.
With the merger off the table, Nissan is looking at ways to become profitable again on its own.
