Job cuts would affect 15% of workforce amid restructuring, declining sales
Struggling Japanese automaker Nissan is planning to cut nearly 20,000 jobs worldwide — more than double the reduction announced last fall— as part of a major restructuring effort, Kyodo News reported Monday, citing an unnamed source.
The job cuts outlined in the new plan account for approximately 15% of Nissan's global workforce. The company is set to report its earnings for the fiscal year ending in March on Tuesday, with attention focused on the impact of US President Donald Trump's 25% auto tariffs.
The company is also evaluating the possibility of shutting down one of its domestic factories as part of its strategy to streamline production capacity in response to falling sales.
In November, Nissan revealed plans to cut 9,000 jobs both in Japan and abroad, along with reducing its global production capacity by 20% by fiscal 2026, as its operations in the US and China continued to face challenges.
Last month, the car manufacturer estimated a net loss of 700 billion yen ($4.7 billion) to 750 billion yen ($5 billion) for fiscal 2024, driven by restructuring expenses, marking its largest annual net loss to date.
Nissan attempted to merge its operations with competitor Honda Motor, but talks collapsed in February after Honda's suggestion to make Nissan a subsidiary sparked opposition from the Yokohama-based automaker's board.
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