Michelin to cut up to 1,500 jobs in France to reduce costs

FRENCH tyre maker Michelin is considering a plan to cut up to 1,500 jobs over three years to reduce costs, the company said on Thursday, as it faces a hit from the Iran war.

“In a highly unstable economic environment, this approach aims to optimise a cost structure that is too high today and support new job role needs,” Michelin said in a statement.

Of the 1,500 jobs affected, two-thirds would be in support functions and a third from the industrial sector, Michelin said, adding that it has nearly 17,000 employees in France and plans to continue to hire there.

The company said the job cuts would be on a voluntary basis and staff would be offered mobility and training opportunities to shift towards new roles.

At the end of April, the company had confirmed its 2026 targets but said it would need to keep on improving its cost structure, partly to mitigate an additional 400 million euros (S$593.5 million) in costs linked to the Iran war. REUTERS