French tyre maker Michelin said on Wednesday it plans to slash up to 2,300 jobs in France over the next three years, but that there would be no lay-offs.
Nearly 60 per cent of the cuts will involve voluntary early retirements and the rest voluntary separations, the company said.
The company added that up to 1,100 jobs would be affected in offices and up to 1,200 in factories.
“Over the past 10 years, Michelin has been faced with profound, structural shifts in the global tyre market, led by the massive influx of low-cost products.
“The group, therefore, needs to support strategic shifts in its operations to prepare for the future,” a company statement said.
“This is particularly the case in France, where the vitality of its positions depends on significantly strengthening its competitiveness.”
Michelin said it plans to modernise its sites and strengthen its premium and speciality tyre operations.
It also aims to establish new lines of business in France – for example in sustainable materials, energy transition and recycling.
Michelin now plans to start negotiations with unions to hash out a framework agreement.