Engineering news
Group Lotus's workforce could be cut by a quarter under restructuring proposals announced by new chief executive Jean-Marc Gales.
The company, which is based at Hethel in Norfolk, said it was considering cutting up to 325 of the site's 1,032 employees.
According to a Lotus statement, the restructuring is “the result of the need both to reshape its organisation and reduce costs”.
Gales said that Lotus has “worked very hard to avoid the need to make this proposal”, but admits that it is “essential” to the future of the company.
"We deeply regret the potential impact any reshaping of the business may have on our employees and their families,” he added.
The company said it intended to redeploy people wherever possible and will begin consulting with staff and workers' representatives to look at ways to reduce the number of job losses “and mitigating the impact of any changes that are necessary”.
Jean-Marc Gales added: "Once the reshaping has been undertaken, and with its strong and experienced management team, Lotus should be a leaner, more competitive organisation, focusing on both producing class-leading sports cars and innovative engineering. We will also build upon the improved sales results seen over the last few months."
The company moved its headquarters to the Norfolk site in 1966. All Lotus models are developed and tested on its 2.2 mile test track and its manufacturing facility and Formula One workshops are also on site. Hethel is one of four Group Lotus locations in the UK.
Group Lotus's cars and engineering units reported a combined loss of £159 million in the financial year that ended in March 2013, according to the most recently filed company report.