x Abu Dhabi, UAEThursday 27 July 2017

France's PSA Peugeot-Citroen to slash 8,000 jobs

Union members said the company management announced the job cuts and closure plan during a meeting with the works council.

PARIS // Struggling French carmaker PSA Peugeot-Citroen is slashing 8,000 jobs in France and closing a site north of Paris.

Union members said the company management announced the job cuts and closure plan during a meeting with the works council. The restructuring plan includes the closure of its Aulnay-sous-Bois factory.

Unions vowed to try to fight back, and plan protests later today.

The company is trying to save €1 billion (Dh4.49bn) this year as it struggles to compete in Europe's fiercely competitive car market. It is suffering particularly amid a slump in sales in the recession-hit southern Europe. Its sales plunged 20 per cent in Europe in the first quarter.

It is hoping a new alliance with General Motors Corp will allow it to return to long-term profitability.