TOYOTA is to shed up to 150 jobs from its engine plant at Deeside, near Chester, and impose a pay freeze for all staff as part of its long-term plan to cope with low car sales.
The job cuts are part of a wider reduction of 750 in the car manufacturer’s UK workforce, announced by the company earlier this year.
The car maker, which employs about 4,000 people at its plants at Queensferry and in Derbyshire, said all redundancies will be voluntary. It says it expects to start taking applications for severance in the summer.
The company insisted the decision to cut jobs was not related to the recent recall of Toyota cars with faulty accelerators.
Toyota said the reduced manning level it is seeking will help the company regain an even keel coming out of what has been a “difficult time”.
The company added the restructuring will allow the company to adapt to the reduced demand for vehicles in current market conditions.
Full-time working will restart at the engine plant on Deeside Industrial Park and at the firm’s car assembly plant at Burnaston, Derbyshire, next month after a year of short-time working.
The workforce has been operating a 10% reduction in hours and pay since the start of the 2009-10 financial year as the company’s sales slumped during the economic downturn.
A pay freeze is being imposed this year, but the company said all employees will receive an extra five days paid holiday during a non-production week starting on April 5 and one additional day to be taken at any time.
Tony Walker, deputy managing director of Toyota, said: “The next year is key for Toyota Manufacturing UK.
“Employees returning to full-time working and offering a voluntary release programme will allow us to adapt to the reduced market.
“We believe this decision will be welcomed by our employees, who have shown flexibility and commitment to the company during this time.”
Toyota’s UK output fell 40% in 2009 on the back of recession. The company was unable to say whether it had benefitted from recent 65% upturn in UK motor industry output.
