Bombardier to cut 7,500 jobs over the next two years
Plane and train maker Bombardier today announced it will cut 7,500 jobs across its global operations over the next two years.
The Canadian company said around two thirds of the roles being cut will be in its transportation division, with the rest made in the aerospace arm.
The group would not confirm the locations of the job cuts.
Bombardier said it expects to achieve recurring savings of approximately $300m (£245m) by the end of 2018. The company anticipates recording $225m to $275m in restructuring charges that will be reported as special items when accrued, starting in the fourth quarter of 2016 and continuing through 2017.
“After successfully de-risking our business last year, our focus has shifted to building a clear path to profitable earnings growth and cash generation,” said Alain Bellemare, president and chief executive at Bombardier.
"The actions announced today will ensure we have the right cost structure, workforce and organisation to compete and win in the future. We are confident in our strategy, our leadership team and our ability to achieve both our 2016 goals and our 2020 turn-around plan objectives.”
The company said the actions support Bombardier's "efforts to build its earnings growth potential and highlight its focus on improving productivity, reducing costs and optimising its worldwide footprint to deliver increased value to customers and shareholders".
Bombardier is building the test train for Crossrail at its Derby operation.