Jaguar Land Rover plans cuts that could affect 4,000 workers

Jaguar Land Rover is preparing a voluntary-departure program that could eliminate about 4,000 jobs over the next two years, according to reports cited by BBC and The Sunday Times. The cuts form part of a plan to reduce the company’s operating costs by £1.7 billion.

The automaker, owned by India’s Tata group, employs about 44,000 people. Nearly 30,000 work in Britain, mainly across 14 plants in the West Midlands, where Jaguar Land Rover ranks among the region’s largest employers.

The company is facing several pressures at once. U.S. tariffs have hurt its results, while export difficulties have contributed to lower sales and profits. A cyberattack last year also forced production to stop for several weeks. Vehicle output subsequently fell by 27%, and the company recorded losses of about £200 million.

The broader car industry is also struggling with rising costs, slower-than-expected growth in the electric-vehicle market and worsening market conditions in China. Jaguar Land Rover’s chief executive said the company’s difficulties emerged as the wider automotive sector deteriorated.