Nissan announced it will cut 9,000 jobs after experiencing a decline in sales during the most recent fiscal quarter.
Nissan, the Japanese automaker, announced it will cut 9,000 jobs— six percent of its 133,000 global workforce— after experiencing a decline in sales during the most recent fiscal quarter.
Nissan recorded a 9.3 billion yen ($60 million) loss in the quarter ending in September; a sharp contrast to the 190.7 billion yen profit in the same period last year.
Sales dropped to 2.9 trillion yen ($19 billion) from 3.1 trillion yen in the previous year while the company struggled to adapt to changing market conditions.
CEO Makoto Uchida took responsibility for the poor performance, announcing he would take a 50 percent pay cut.Nissan Job Cuts: What to Know
Despite the setback, Uchida reassured investors, saying the company is committed to restructuring and a future turnaround.
He said “We will restructure Nissan to become leaner and more resilient.”
Uchida also acknowledged that the company had not responded swiftly enough to shifts in global market trends and rising raw material costs, and promised to make necessary changes moving forward.
