Report: Carmaker TPCA to let go some 500 employees

17-12-2014

The Kolín-based automobile manufacturer TPCA (a joint-venture of Toyota, Peugeot, and Citroen) will lay-off some 500 agency-hired staff. The news was confirmed on Wednesday by company spokesman Radek Kňava. The reason for the reduction, are fewer models to be produced in 2015 than originally projected: some 220,000 vehicles. Layoffs should not affect regular employees.

Photo: archive of TPCAPhoto: archive of TPCA In May, TPCA launched the newest generation of models Toyota Aygo, the Peugeot 108 and Citroen C and a month later the carmaker hired some 700 new employees. Now, some 500 agency workers are to be shown the door in roughly three-and-a-half months. Originally, the firm had projected it would build 250,000 vehicles next year (fifty thousand more than in 2014) but it now appears the number will be 220,000 due to less-than-expected demand. For that reason, the firm will run two shifts on the factory floor rather than the current three, spokesman Kňava told financial website iHned.

Not all employees on the third shift will be let go: some will bolster the two remaining ones on the assembly line. To run two shifts, TPCA only needs 3,200 workers – not the 3,700 it has now. Work on the two remaining shifts will also be sped up: as its stands, according to iHned, currently one car comes off the assembly line every 65 seconds; the firm is aiming to speed up the time to 58. Regarding workers who will be let go? TPCA spokesman Radek Kňava told iHned the company was working to try and find other automobile industry jobs for those affected, areas where, he stressed those with TPCA experience would be highly welcomed.

TPCA built its first car at its Ovčary near Kolín plant in February 2005. Its millionth car rolled off the assembly line on December 1, 2008.

17-12-2014