Global Workforce Cut and Financial Struggles
plans to cut about 15% of its global workforce, approximately 20,000 employees, by fiscal 2027 due to financial losses and declining vehicle sales in key markets like .
The company reported a significant loss of 670.9 billion yen ($4.5 billion) for the fiscal year ending in March 2025, a stark contrast to the previous year's profit. Restructuring costs and U.S. tariffs on auto imports have also contributed to its financial woes.
Strategic Recovery Plan
As part of its recovery plan, Nissan will reduce its number of auto plants from 17 to 10 and aims to cut costs by 250 billion yen ($1.7 billion) in the next fiscal year.
The automaker faces challenges in achieving a turnaround but insists it has sufficient cash to support its recovery efforts. Nissan's restructuring includes both domestic and overseas job cuts.