Nissan announces 250 job cuts at Sunderland factory
The troubled Japanese car manufacturer has announced 250 job cuts at its Sunderland plant in order to 'improve efficiency' and help it raise £5.2bn to stay afloat.
Nissan announces 250 job cuts at Sunderland factory
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By FREDA LEWIS-STEMPEL

Struggling car manufacturer Nissan is cutting jobs at its Sunderland plant as it tries to improve 'efficiency'.

The Japanese car maker, which posted a historic £3.8billion net loss in the last year, has confirmed to This is Money it will axe 250 of its 6,000 workforce at the North East vehicle factory.

Despite the recent good news that production of the new Nissan Leaf and forthcoming Juke EV will save the Sunderland plant for being one of seven global factories shuttered to £1.3bn in operating costs, it has confirmed it will still lose hundreds of workers as part of a 'leaner' business strategy.

A spokesperson said that manufacturing staff won't be affected. Instead the 'voluntary leave scheme' had been opened to on-site shop floor and office staff.

In May, Nissan announced its poor 2024-25 financial results, with huge losses off the back of a crash in demand in its two largest markets, the US and China. As a result, new chief executive Ivan Espinosa simultaneously announced the £1.3bn 'Re:Nissan action-based recovery plan' to haul the company out of the red.

The government subsequently stepped in, backing Nissan with a £1bn loan to safeguard workers at Sunderland - the home of Nissan vehicle manufacturing since 1984 and a major employer in the North East.

Nissan has announced it has asked 250 staff at its Sunderland plant (the largest car plant in the UK) to 'voluntarily leave' in order to improve 'efficiency'. Manufacturing staff aren't affected

A spokesperson for Nissan told us: 'In order to support future competitiveness, this week we are beginning discussions with some of our team in Sunderland about the opportunity to voluntarily leave Nissan, with support from the company.

'This will support the plant’s efficiency as we aim to become a leaner, more resilient business.'

Nissan recently reaffirmed that the Sunderland plant 'remained at the forefront of Nissan's electrification strategy' and will provide European production for its new line-up of EVs arriving before 2026.

During a conference last month, Nissan president and chief executive Espinosa said: 'In Europe, we will strengthen our presence by assembling more electric models in Sunderland.' 

Nissan is hoping to raise £5.2billion to stay afloat. 

Last year, 282,124 vehicles were built at Sunderland - the home of Nissan in Europe. Nissan posted a £3.1bn loss last year and is currently shutting seven plants worldwide to save £1.3bn. Sunderland isn't one of them

The all-new Nissan Leaf will be built at Sunderland along with the new Juke EV. The Leaf marks the return of the first mass-market EV and Nissan is hoping it will rejuvenate its model line-up 

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The new Leaf is coming later this year, a new EV Juke is arriving next year and the new e-POWER system is also coming to Qashqai soon.

The all-new Leaf will be the first of Nissan's revised electric car offerings to be built at Sunderland. 

The completely overhauled version of the pioneering, first true mass-market EV is arguably Nissan's best bet at recapturing the electric car market now dominated by cheap Chinese EVs and some strong competition from Renault, Kia and Hyundai.

The new Leaf - now a crossover rather than a conventional hatchback - goes on sale this autumn with first deliveries expected spring 2026 and is expected to cost from around £30,000.

The fact that it's being made in the North East factory is a great vote of confidence for the future of Nissan in the UK, British jobs and the economy.

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