Nissan: Job Cuts Will Not Result In Layoffs In Tennessee

Nissan North America says a plan to cut 12,500 jobs worldwide won’t result in any additional losses in Tennessee.

The automaker announced at its Tokyo headquarters Thursday that the cuts would include 1,400 jobs in North America. But later in the day, a spokeswoman said these reductions have already occurred. 

Earlier this year, the company offered voluntary buyouts to workers at its North American headquarters in Franklin and at its plant in Canton, Miss. The company has also cut some of its contract workers at the Canton plant.

So Nissan’s manufacturing facility in Smyrna and its engine plant in Decherd, Tenn., should not see any layoffs, according to the spokeswoman. There are not expected to be any more cuts in the North American headquarters, either.

Nissan’s Thursday announcement also included a plan to cut global production by 10% and reduce the number of models it manufactures over the next few years.

Nissan’s sales have been in a nose-dive with annual profit dropping to less than half of what the company earned in the previous year. Analysts blame the decline on the US-China trade war, uncertainty over Brexit, and new emissions standards, among other things.

The Japanese automaker is also struggling to fix its brand image after the arrest of former Chairman Carlos Ghosn and former Franklin executive Greg Kelley. Both men are awaiting trial in Japan on financial misconduct allegations.