Toyota Will Cut 3,000 Jobs in Japan as Car Sales Fall

[joemac]

Originally Posted by Kennyboy

Does it make a difference if those jobs losses are in Japan or the US? Either way, we're in a recession and it will only get worse then getting better.

Yes tremendously so, as the US receives very little if any benefit from Japanese sourced revenue. However on the flip side the Japanese reap huge benefits of revenue sourced from the US. Reference the annual automotive trade deficit with Japan. In 2004 it was $147 Billion. The US market is Toyota and Honda's number one market for revenue. That's why they're already lobbying their government to intervene with currency manipulation to assure the pipeline of billions that goes to Japan is uninterrupted. They're growth and business model depends heavily on the US, so we we die, they're going to feel the effects as it negatively impacts revenue.

[joemac]

Originally Posted by Bloomberg Article

Toyota Will Cut 3,000 Jobs in Japan as Car Sales Fall

Nov. 21 (Bloomberg) -- Toyota Motor Corp., Japan's biggest carmaker, will cut its domestic temporary workforce by 50 percent as vehicle demand slumps globally.

Toyota will cut the number of temporary workers to 3,000 from 6,000 by the end of March, spokesman Paul Nolasco said today in a phone interview.

The automaker follows Mazda Motor Corp. and Isuzu Motors Ltd., which yesterday said they would slash a combined 2,700 temporary jobs in Japan in response to slowing sales. Earlier this month, Toyota forecast a 68 percent drop in full-year net income, the biggest decline in at least 18 years, as a global recession cripples auto demand.

Japan's exports declined at the fastest pace in almost seven years in October, and Toyota's U.S. sales plunged 23 percent last month.

Toyota, heading for its first drop in U.S. sales in 13 years, will extend the Christmas-New Year closure at its U.S. and Canadian plants by two days. The carmaker will also cut Sienna minivan output in Indiana by half in January and slow one of two Georgetown, Kentucky, factory lines.

Where's Buickman for the analysis? All these guys should be fired write? Have you translated Return to Greatness into Japanese? Maybe they'll listen!!!!

While no full-time employees will be laid off, the company will eliminate at least 50 percent of its 500 temporary workers at the Georgetown plant during the first three months of 2009.

Translation, Thanks to the US workers for helping us total 14B in annual profits last year. We appreciate your hard work (our pockets stuff with Yen thank you), but your job is now gone.

Toyota seems to have a good history of not laying off people, could this be spin smoke and mirrors cause it has relied extremely heavy in temporary labor? The answer if one is needing help is yes.

[zete]

Originally Posted by Gung_Ho

No, Toyota has approximately 300,000 worldwide.

The temporary workers being let go are in the States so we should compare apples to apples. Toyota is letting go of at least 50% of their temporary workers according to various articles I've read. That looks good as compared to a lay off of full time staff. Thus, what I originally stated stands, it's a great move PR-wise. But, if sales continue to tank they'll be laying people off in NA just as they are in Japan.