Aston Martin cuts up to a fifth of all jobs

The demand for Aston Martin luxury cars is low. For this reason, the carmaker wants to cut up to 500 of the approximately 2500 jobs.

Aston Martin pays homage to the meager demand for its luxury cars and cuts up to 500 of the approximately 2500 jobs. Together with other restructurings, around 38 million pounds ($48 million) are to be saved annually, as the manufacturer of the legendary James Bond cars announced on Thursday. The renovation costs are estimated at £12 million.

The manufacturer, known for its sports cars, wants to reach a new group of buyers with the first SUV to be launched on the market in summer. With this, the British want to have a piece of the cake of the off-road vehicle boom, from which rivals have long benefited.

Last week, the company, which was founded 107 years ago, announced that Tobias Moers, the previous chairman of Daimler’s Mercedes-AMG subsidiary, would be the new boss of the British luxury car manufacturer. He succeeds Andy Palmer, who left the company with immediate effect after almost six years.

Aston Martin ventured onto the floor in 2018. Last year, however, the stock lost 78 percent of its value. Its currently traded at around 64 pence. The corona crisis has exacerbated the problems facing British luxury car manufacturers. Due to the stoppage of production and rapidly shrinking sales figures, the pre-tax loss widened to £119 million in the first quarter (equivalent to just under $151 million).

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