The French car manufacturer Renault plans to eliminate approximately 3,000 positions worldwide through a voluntary departure program targeting support functions.
The measure is part of a cost-saving plan called „Arrow,” which foresees a 15% reduction in staff in the human resources, finance, and marketing departments, according to the French newsletter L’Informe, cited by Reuters.
Most of the job cuts are expected to take place at the headquarters in Boulogne-Billancourt, near Paris, as well as in other international subsidiaries.
A source close to the company told L'Informe that the final decision could be made by the end of the year. Renault confirmed that it is considering cost optimization measures.
"Given the uncertainties in the automotive market and the extremely competitive environment, we confirm that we are exploring ways to streamline operations, accelerate execution, and optimize fixed costs," a company spokesperson said.
At the end of 2024, Renault had 98,636 employees globally.
In July, the group reported a net loss of 11.2 billion euros in the first half of the year, of which 9.3 billion came from the depreciation of its stake in the Japanese partner Nissan.
Net profit decreased to 461 million euros, more than three times lower than in the same period of the previous year, due to the decline in the commercial vehicle market, high costs for the electric transition, and increased competition.
The new CEO, François Provost, appointed in July after Luca de Meo's departure to the Kering group (owner of Gucci), faces the challenging task of restoring profit margins, bringing Renault's credit rating back to "investment grade," and finding solutions to counteract the effects of American tariffs and the increasingly aggressive competition from Chinese manufacturers.