Bouygues Immobilier plans layoffs as construction market weakens

By Olivier Cherfan

(Reuters) - Bouygues Immobilier said on Monday it plans to cut 225 jobs at its property development unit in France as construction demand weakens, and will consult with employees before implementing it.

The plan involves voluntary redundancies and internal redeployment, it said, citing the need to remain competitive.

"The company must continue to adapt to the potential of its market, and to its backlog and development portfolio," it said.

Negotiations with employee representatives will take place over the coming weeks, the group added.

Bouygues Immobilier has 1,054 employees in France and posted sales of 1.74 billion euros ($1.89 billion) in 2023.

French peer AST Groupe, which also announced cost-cutting measures last month, suspended on Monday the trading of its shares, saying it was "continuing discussions with its various partners, guarantors, bankers and public creditors."

French rivals Vinci Immobilier and Nexity announced redundancy plans in January and February, respectively.

($1 = 0.9215 euros)

(Reporting by Olivier Cherfan; Editing by Richard Chang)