Auto Service World
News   May 27, 2009   by Auto Service World

Goodyear Plans to Cut Jobs at French Plant, Consumer Tire Production

The Goodyear Tire & Rubber Company recently announced a plan that would discontinue consumer tire production at a plant in Amiens, France, as part of its strategy to reduce high-cost manufacturing capacity globally. The action, which is expected to be complete by the third quarter of 2010, would result in a reduction of approximately 820 of the 1,200 total positions at the plant, which also produces farm tires.


Production at a second tire plant in Amiens, employing about 1,000 people, would not be impacted by this action. The company currently employs approximately 3,500 people in France.


The discontinuation of consumer tire production at the Amiens plant would result in the reduction of approximately 6 million units of production, which is part of Goodyear’s strategy to remove 15 million to 25 million units of capacity over the next two years.


The estimated charges associated with the plan are $55 million (approximately $30 million after taxes and minority interest), the majority of which will be recorded in the second quarter of 2009. These charges primarily relate to cash severance payments that will be made as actions are taken in the future.


Goodyear employs approximately 71,000 people and manufactures its products in more than 60 facilities in 25 countries around the world. For more information about Goodyear, go to

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