According to sources, the French carmarker Peugeot is preparing to terminate employment for some 850 of its staff at the Poissy facility in France.

Peugeot’s plan was disclosed to trade union representatives during an extraordinary works council get-together, taking place at the end of last week. Three trade union sources came forth immediately after the meeting and declared that PSA Peugeot Citroen intended to cut the night shift and approximately 850 jobs at the Poissy factory in Yvelines near Paris, a move clearly linked to decreasing output levels. However, according to the same sources, the change will not lead to imposed redundancies for any of the core 4,500 workers.

A representative of PSA Peugeot Citroen admitted that the company was looking into removing one of the work shifts, but refused to make any comments on the number of workers to be affected by the new situation. The spokesperson declared that: “Based on projected volumes in 2017, we may have to adjust our way of working with a progressive move from three shifts to two.”

The move is visibly part of Peugeot’s strategy to shift production to labor cost-effective markets. The Poissy factory started to manufacture Citroen C3s in the aftermath of the carmaker closing the Aulnay-sous-Bois site, another facility near Paris. Further down the line, in 2017, C3 production is to be moved to Slovakia, while output from Poissy will gradually fall from 235,000 units envisaged for 2016 to 140,000 cars in 2017 and 120,000-130,000 C3s in 2018.

Via Reuters


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