With India’s economic slowdown taking its toll, auto sales has plunged compelling more automotive manufacturers to lay off employees and also halt production.
According to a Reuters report, Japan’s Toyota Motor and South Korea’s Hyundai Motor are the fresh additions to the list. Due to declining sales, these automobile makers have halted production at plants in India.
Hyundai in a memo informed that it would halt production for several days in August across various departments including the body shop and paint shop as well as its engine and transmission plants, as per Reuters.
However, a Hyundai Motor India spokesman said the company expected sales to pick up in the festive season starting next month and denied laying off of any workers.
The downward trending sales has been responsible for thousands of job cuts and shutting down of factories and more names are being added in the list who are laying off temporary workers.
It has also come to light that not only automakers, event components such as powertrain and air-conditioning systems for cars and auto framework parts makers have also cut temporary workers in a recent move.
Earlier, Reuters had reported that automakers, component manufacturers and dealers had already cut 350,000 jobs due to the economic slowdown.