Aug. 30 (Bloomberg) -- PSA Peugeot Citroen, Europe’s second-biggest carmaker, will end auto assembly at its Aulnay factory near Paris at the end of October, about two months earlier than scheduled, as it lacks sufficient employees.
“We only have 20 percent of our usual workforce on the production line,” Jean-Baptiste Mounier, a spokesman for the Paris-based company, said today by phone. “About half of the 2,800 permanent Aulnay employees have found another job internally or externally.”
Peugeot, which posted a first-half operating loss of 510 million euros ($676 million) in its automotive division, plans to eliminate 11,200 jobs in France by 2015 and has said it would close the Aulnay factory in 2014. Chief Financial Officer Jean- Baptiste de Chatillon said in April that the plant may close earlier than planned because of strikes led by the CGT union that disrupted production.
The plant, which produces the Citroen C3 compact, was making as few as 40 to 50 vehicles a day in April, compared with its 250-car capacity. Peugeot reached a deal with the union in May, ending strikes and legal action by CGT that were intended to thwart the job cuts.
--Editors: Chris Reiter, David Risser