Tata-owned Jaguar Land Rover (JLR) is to move all production of its Discovery SUV model from its Solihull plant to Slovakia (Nitra) from next year.
JLR is planning to use capacity at its Solihull plant for a new generation of Range Rover models, but the sourcing switch on Land Rover’s biggest selling model will raise fears over job losses. The company has acknowledged that there may be job losses in the UK as a result.
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“The potential losses of some agency employed staff in the UK is a tough one but forms part of our long-term manufacturing strategy as we transform our business globally,” the company said in a statement.
There are around 1,800 agency workers in the Solihull plant, in the English West Midlands, out of a total workforce of 10,000.
Previously, JLR had said the manufacture of the Discovery would be split between Solihull and Slovakia.
Analysts say the decision to move all Discovery output to Slovakia mainly reflects cost factors, but there will inevitably be suggestions that the move was also influenced by ongoing Brexit uncertainties.
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By GlobalDataThe Discovery announcement follows news earlier this year that the company would cut jobs and reduce UK output in the wake of lower demand in the UK.
See also: JLR to cut 1,000 jobs – reports
Jaguar Land Rover cuts planned production for Q2
