UK Markets closed

Bentley slashes 1,000 jobs in a bid to save business damaged by coronavirus

Mark Shapland
·2-min read

Bentley will cut 1,000 jobs in bid to save costs as the damage from coronavirus continues to hit the car industry hard.

Voluntary redundancies are to be offered to a quarter of Bentley’s staff as the luxury car marker hopes to save £10 million per year.

It comes just weeks after the manufacturer, which was founded in north London in 1919 and is now owned by Volkswagen, resumed production at its headquarters in Crewe on May 11.

Some 1,700 workers returned to the site, with Bentley predicting at the time the remainder of its workforce would return by the middle of June.

It comes after yesterday Aston Martin revealed it plans to slash up to 500 jobs as part of a major restructure.

The troubled company said it will shortly launch consultations on the job losses, which have been driven by lower-than-planned production volumes and improved productivity.

Aston Martin said the restructuring is expected to cost around £12 million.

Meanwhile, car dealership Lookers has announced it will axe about 1,500 jobs and shut 12 showrooms.

Lookers said it was launching redundancy consultations across all areas of the group which are expected to see around 1,500 jobs go among its 8,100-strong workforce.

It comes as the Altrincham-based group revealed it will shut another 12 sites – either by closure, merging with other showrooms or refranchising – on top of the 15 dealerships being closed under plans announced in November.

The closures will leave it with 136 dealerships across the UK.

It emerged last month that rival car dealership Pendragon had held talks with Lookers over a potential merger but failed to secure a deal.

Read more

Analysis: Is the stock market just madly optimistic?

Will there still be demand for London office space after the lockdown?

Analysis: Could London’s City boys start trading at 9am?

Analysis: Ten firms to embrace tech and emerge from lockdown stronger

Grim stats show how badly retail sector has been ravaged by lockdown

Jim Armitage: Don't blame government for abuse of covid loan schemes