Volkswagen’s Czech unit Skoda Auto will cut 3% of its workforce, or 870 employees next year, daily Mlada Fronta Dnes reported, citing a union chief.
“We still don’t know if it will be mainly about cancelling unfilled positions and people leaving positions, or if it is actual layoffs,” Jaroslav Povsik was quoted as saying. A Skoda spokesman would not confirm the information for the daily.
Skoda, the country’s largest exporter, has cut production in the wake of falling demand in the financial crisis. The car maker planned cuts for the final three months of the year that would reduce output by 31,000 vehicles. It recently extended a shutdown set for the last two weeks in December until Jan. 11 next year. A Skoda executive said last month the company expects a 9.5% rise in sales this year to 690,000 units, and will target unchanged sales in 2009. (Reuters)