Bombardier plan 7,500 more job cuts in two years
Plane and train maker Bombardier has announced a second round of job cuts this year which will see the Canadian company shed 10% of its workforce over the next two years.
Bombardier Inc
$2.52
11:00 27/10/20
The Montreal-based firm has struggled in recent years, particularly with its rail division, and it announced an additional 7,500 job losses between now and 2018.
In February the company said it would cut 7,000 jobs in two years, as it switches its focus to its new C Series jet.
The company has reported that it is to face restructuring charges of between $225m and $275m. It hopes that the programme will return $300m per year from the end of 2018.
"We understand these are difficult decisions ... but in the end what we are going to be left with is a leaner, stronger organisation," Bombardier Chief Executive Alain Bellemare said.
Bellemare also added that Bombardier will be "strategically hiring" in areas of growth during the period.
"Our cost structure is high, and we need to do what is right to make sure we make money on our programs. We want to position ourselves so that we are stronger in the future," Bellemare told Bloomberg in a telephone interview.