Economics
Battered Brazil Carmakers Say Worst Isn't Over as Job Cuts Loom
- Industry seeks to lower labor costs as recession drags on
- Already, 15,000 have been fired and 6,000 more placed on leave
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Brazilian car manufacturers are bracing for more job cuts as a once-in-a-century recession in Latin America’s largest economy drags on.
Idle capacity at Brazil’s 65 car plants has skyrocketed to 30 percent after vehicle sales tumbled 27 percent in 2015 from the previous year, according to Luiz Moan Yabiku Junior, president of the national automakers association known as Anfavea. Already, carmakers have fired almost 15,000 people in 2015.