Open

Coming up

Don't miss

Replay


LATEST SHOWS

MEDIAWATCH

US media reacts to ebola scare

Read more

DEBATE

How to Stop Ebola: Center for Disease Control Confirms First Case of Virus in US (part 2)

Read more

DEBATE

How to Stop Ebola: Center for Disease Control Confirms First Case of Virus in US

Read more

THE INTERVIEW

I will support Hillary Clinton, will.i.am tells France 24

Read more

FOCUS

Germany: Spread of radical Islam propaganda sparks concerns

Read more

ENCORE!

Corrie Nielsen: Up and Coming Talent at Paris Fashion Week

Read more

FACE-OFF

French Senate election: A new blow for Hollande

Read more

ENCORE!

Encore's Film Show: Julie Gayet, Denzel Washington, and cartoon madness

Read more

MIDDLE EAST MATTERS

Turkey's strategy towards the Islamic State group

Read more

Business

Honda to cut 3,100 jobs

Latest update : 2009-01-16

Honda, Japan's second-largest carmaker, announced that it will not renew the contracts of 3,100 employees in an effort to cut costs as global demand for cars falls.

AFP - Japan's Honda Motor Co. said Friday it was cutting more than 3,000 jobs at home and reducing domestic production because of a slump in demand due to the economic downturn.
  
The country's number two automaker will reduce its output by 56,000 vehicles for the rest of the financial year to March, lowering domestic production to 1.168 million vehicles, down 10 percent from the previous year.
  
Honda said it would not renew contracts with 3,100 temporary workers in Japan by the end of April.
  
The latest cutbacks are in response to "a rapid change in the global market environment," the company said in a statement.
  
In December, Honda had already said it planned to cut domestic production by 54,000 cars and would hold off on the release in Japan of the Acura luxury brand, which was planned for 2010.
  
Honda last month cut its full-year net profit forecast by more than half due to a soaring yen and the global economic slowdown. It also announced its shock pullout from Formula One because of financial difficulties.
  
Japanese manufacturers have expanded rapidly in recent years to meet brisk demand for their smaller, fuel-efficient cars, but they have not been immune to the economic downturn. Other makers including Toyota and Nissan are also cutting jobs and production.

Date created : 2009-01-16

COMMENT(S)