Renault is mulling terminating one of the two shifts at its Flins site in France that produces the Clio subcompact and Zoe electric car, according to a report by Les Echos. The French daily said that the move will reduce annual production to a max of 110,000 cars from the current 145,000 vehicles.
The newspaper said that management of the Flins site has told unions that it may cut over 400 temporary jobs involved in the production of Clio and Zoe models. Les Echos noted no decision was taken yet. According to the daily, the plan should not conflict with an agreement with French unions to hike Renault’s local production by around a third to 710,000 vehicles by 2016.
Renault had disclosed that Flins site was targeting to build 82,000 Nissan Micras in 2016 to boost its production in France. The French carmaker has already cut around 2,500 jobs in the first year of a productivity deal with French unions, which is aimed at meeting savings targets.
The carmaker vowed in 2013 to protect its sites in France in exchange for longer working hours, restrictions on pay hikes and reducing at least 7,500 jobs by 2016. [source: Reuters]