VW’s Seat Wants Employees at its Spanish Plants to Take Turns And Stay at Home image

VW’s Seat said that it wants its employees to take turn to stay at home, part of its strategy to deal with a decrease in demand.

Seat said that it wants 571 employees to have a day stay at home on a rotating basis at Martorell and Zona Franca, its plants from Catalonia, between September and December. The automaker plants to stop production for 16 days on one of its production lines, during this period, a strategy which will affect 2,800 workers. Seat also said it will freeze production for 35 days in 2014 on another line, this time affecting 3,800 employees.

“The measures are aimed at guaranteeing the continuation of all staff at Seat as well as an adequate relationship between production and demand for our products in the market,” SEAT said in a statement.

Last year Seat managed to reduce its net loss by 50% to 30 million euro and increase sales by 20.6% to 6.1 billion euro. Sales in Europe continue to decrease, with Spain down 0.7% year-on-year in June. In 2012 Seat’s sales dropped 8% to 321,000 units and its operating loss dropped to 156 million euro from 225 million euro in 2011.

Source: Reuters