Jaguar Land Rover (JLR), owned by Tata Motors, has confirmed plans to cut around 4,000 jobs globally over the next two years as the luxury carmaker seeks to reduce costs and navigate intensifying competition, US tariffs and the transition to electric vehicles.
The job cuts are expected to primarily affect office-based roles. JLR said salaried and management team members will be offered the opportunity to leave the business as part of efforts to simplify its organisational structure. In addition the company siad that the pink slips will not impact direct manufacturing jobs.
PR Balaji, CEO of JLR, said that the company will reduce its global workforce by around 4,000 roles over the next two years.
He said the company is reducing organisational complexity and targeting £1.7 billion in savings to lower its break-even point towards 300,000 vehicles and make the business better positioned to compete in a rapidly changing market. The actions are to support 15-18 Billion Euro investment over five years.
"The automotive industry faces significant challenges, with technological change amidst intense competition and ongoing geo-political uncertainty," Balaji said.
"Through our Growth Reimagined strategy, JLR is moving decisively to strengthen our competitiveness and position the business for long-term success," he added.
The company currently employs around 40,000 people globally, including approximately 33,000 employees in the UK. The planned reduction represents a significant restructuring of its workforce as JLR seeks to improve its cost base.
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JLR is facing several challenges, including growing competition from Chinese automakers, US tariffs and the industry's expensive shift towards electric vehicles.
The company's long-standing challenges were compounded by a cyber attack in September 2025, which disrupted its global operations for several weeks. The shutdown reportedly cost the manufacturer tens of millions of pounds a day in lost revenue.
JLR's performance has also been affected by supply-chain disruptions and geopolitical developments.
Last month, the company reported a 9.6% year-on-year decline in revenue to £6 billion for the three months ended June 30. The automaker said sales had been hit by a fire at a supplier's factory as well as disruption linked to the US-Iran war.
JLR temporarily paused production of its Range Rover and Range Rover Sport models at its Solihull plant in March following a fire at a component manufacturer's factory in Norway. The company also halted production of several diesel and petrol-powered models, including the F-Pace, amid changing market conditions and production challenges.
The latest restructuring comes as the company attempts to balance investments in new technologies with weaker demand, higher costs and greater competition in global markets.
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