AvtoVAZ to cut 15,000 jobs

AvtoVAZ Chairman Bo Andersson

Troubled Russian automotive manufacturer AvtoVAZ has drawn up plans to lay off 15,000 of its 49,000-strong workforce, according to  TLTgorod, in a move that is certain to also have a knock-on effect throughout its supply chain. The company’s Chairman Bo Andersson and Human Resources VP Timur Butov are due to hold talks with Russian Labour Minister Maxim Topilin and Deputy Prime Minister Olga Golodets within the next few days.
The news comes after months of tension  which reached a head in June when production ground to halt with Andersson claiming that suppliers  were hindering his efforts to improve quality and cut purchasing costs associated with its best-selling Lada line. “They have been used to special benefits,” he said, after executives from 15 suppliers complained to the Russia President Vladimir Putin about his tough negotiating stance.
The company posted a net loss of  $384.67m last year.

Source: Rosbalt