Auto parts manufacturer Valeo in the Czech Republic will lay off around 100 people – Seznam Zprávy

French auto parts maker Valeo plans to cut around 1,000 jobs in Europe. The layoffs will also affect operations in the Czech Republic, Reuters reported on Wednesday, citing informed sources. About 100 jobs are to be cut in the Czech Republic. The layoffs will concern production plants in Rakovník, Žebrák in Berounsk and Humpolec, Gábor Iffland told ČTK on behalf of Valeo.

“As for the number, it is being negotiated, but about 100 places,” said Iffland. In France, as part of the restructuring, the company will close two plants and lay off around 800 employees. However, according to sources, the number of employees is also to be reduced at plants in Germany, Poland and the Czech Republic.

The European car industry is facing a number of problems due to weak car sales in the region and competition from Asian manufacturers who offer cheaper electric cars. Valeo lowered its annual sales outlook in October.

A number of car manufacturers and their suppliers in Europe are planning layoffs. Among other things, German auto parts maker Schaeffler announced this month that it wants to lay off about 4,700 workers at its European plants. Tire maker Michelin is expected to cut 1,250 jobs. Franco-Italian carmaker Stellantis announced this week that it plans to close a van factory in the south of England. Ford will then cut around 14 percent of jobs in Europe. Europe’s largest car manufacturer, Volkswagen, also plans to close factories in Germany.

Valeo is one of the largest employers in the automotive industry in the Czech Republic. It has nearly 4,500 employees in its six workplaces. There are two plants in Rakovník, others in Žebrák, Humpolec, Podbořany in Lounsk and in Prague, where there is a Research and Development Center.