New Delhi: With auto sales declining for the ninth straight month in July, more automotive manufacturers are laying off workers and temporarily halting production to keep costs in check, according to sources.
Japanese carmaker Toyota Motor and South Korea’s Hyundai Motor are the latest in a string of companies to halt production at plants to combat slumping sales, according to company memos to employees, reviewed by Reuters.
Sources have told Reuters that more companies have now begun to lay off temporary workers as the slowdown worsens.
Denso Corp, which makes powertrain and air-conditioning systems for cars, has laid off about 350 temporary workers at its Manesar plant, a source said.
Bellsonica, which is part-owned by Maruti Suzuki and makes fuel tanks and brake pads, has also let more than 350 workers go in Manesar.
Reuters earlier reported auto-makers, component manufacturers and dealers had already cut 3,50,000 jobs.
In a meeting with the Finance Ministry on August 7, industry executives asked for tax cuts....