Sportscar manufacturer Lotus has announced plans to reduce its workforce by 550 jobs at its headquarters in Hethel, Norfolk. The decision follows a review of the company’s business objectives in light of current market conditions. Previously, Lotus had dismissed rumors of closing its factory and relocating to the United States, stating its commitment to remaining in the UK while exploring global market options.
In a statement, Lotus indicated that the job cuts are deemed necessary to ensure the company’s sustainability amidst ongoing changes in global automotive policies, including tariff uncertainties. The firm has emphasized its continued commitment to its UK operations, with Hethel remaining the central hub for its sports car, motorsports, and engineering consulting divisions. Furthermore, Lotus is actively seeking growth opportunities that could diversify its business model, including potential third-party manufacturing partnerships.
In response to the job cuts, South Norfolk Council has expressed its intent to assist those affected, with council leader Daniel Elmer highlighting the importance of focusing on the employees losing their jobs. The council plans to collaborate with the county council to establish support packages and engage with the government for assistance in securing a future for the Lotus brand in the region.
Lotus was founded in the 1950s by engineer Colin Chapman and relocated to Hethel in the 1960s. Local MP Ben Goldsborough described the day as unfortunate for the county, acknowledging the significant impact of the job losses but also noting that the worst-case scenario of total closure had been avoided. The current situation raises questions about the future viability of Lotus within the evolving automotive market.
Source: https://www.bbc.com/news/articles/cr4evdr355xo?at_medium=RSS&at_campaign=rss