By Oliver Hall
Michelin tyres could cut as many as 3,500 jobs in France by 2011, the French tyre group confirmed yesterday.
A spokeswoman for Michelin said: “When you add up the 700 job cuts already announced when we closed our plant in Toul, the 1,093 job cuts of last week and an estimate of our workforce needs by 2011, which we see down 650 to 1,700 jobs due to productivity gains, we reach that figure of 2,400 to 3,500 jobs.”
She added that this estimate was conveyed to trade unions in a workers meeting on Wednesday.
Le Figaro newspaper reported earlier on Thursday that unions were expecting up to 3,500 job cuts at the French tyres company.
Michelin, the second largest tyres manufacturer in the world, is acting in response to the collapse in global demand for tyres
Tyre makers have been hit hard by the decline in demand for their products due to the worldwide recession.
Sales have plummeted along with automakers, which have been forced to slash production to reduce costly inventories of unsold vehicles as the recession has dried up demand for new cars.