Peugeot May Cut 10,000 Jobs In France
Bloomberg is reporting that Peugeot may expand their job cuts in France, with the potential for 10 percent of their domestic warehouse to be cut.
“They will raise the job cuts target in France alone to 8,000-10,000″.
Peugeot wouldn’t comment on the figure, but given the way things are shaking out in Europe, it’s plausible. In Novemeber, 2011, Peugeot was targeting job cuts of around 6,000. Declining car registrations in Europe (with Italy down by nearly 25 percent according to the latest available data) amid great uneconomic uncertainty means that the auto industry is in a precarious position on the continent; they are dealing with a problem of overcapacity and a shrinking market at the same time.
More by Derek Kreindler
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I disagree with the comment: "They are hopeless capitalists." France has a mixed economy, with some industries managed by the state, and other industries left to fend for themselves in the free market. The French car business is very much part of la grande patrie, so it benefits from large dollops of state aid. Less needy industries, such as makers of luxury goods and processed foods (to name but a few examples), thrive without assistance. It's the same story in most countries. One of my Japanese friends has a secure job in a government ministry that builds useless animal barriers near highways. She's bored to tears.
Don't forget other benefits of "capitalistic" western Europe:
I am European but...don't forget other benefits of "capitalistic" western Europe: - Paid Holiday - minimum 30 days/y - A lot of companies/state agencies pay holiday $ as well - 35-40 hours working week - much too relaxed working conditions - in Germany and Holland you can just call your boss if you "feel" sick and stay home 3 days (fully paid) without even seeng a doctor - so called "burnout" holidays... etc..etc..
Nations differ? Really? My Japanese friend is quite hard-working, as are the members of my family who live in Holland and Germany. However, they are engaged in unproductive activities that actually subtract from the national worth. Meanwhile, I have French friends who can only find jobs as "contractors." Since they're in competition with Romanian and Polish migrants, they work hard and receive zero benefits. No security, no vacation, no retirement pay. Zilch. To say that capitalism is a a North European phenomenon is ridiculous. Banking and insurance originated in Italy, Belgium developed manufacturing (yes, ahead of England), and the word "entrepreneur" was coined by a French economist. The idea that Anglo Saxons have a god-given gift for business has led to disasters such as British Leyland and Opel.