Japanese automaker Nissan is slimming down its production in the U.S. and offering buyouts to workers in a push to cut jobs after reporting losses during the last quarter.
Nissan is offering voluntary separation packages to employees at assembly plants in Smyrna, Tenn., Canton, Miss. and Decherd, Tenn. to boost its profitability, according to the company’s spokesperson.
The Smyrna plant, where Nissan produces the Rogue model, will cut one of two shifts at the production line. The same thing will happen at the Canton factory, which produces the Nissan Altima sedan.
The lines at the Smyrna plant that produce the Murano Pathfinder and Rogue vehicles as well as the line at Canton that builds the Frontier pickup will continue with two shifts.
At the Decherd plant in Tennessee, Nissan said there won’t be any shift reductions, but some lines will have increased line speeds.
“We are taking measures to ensure that we align our production to meet the needs of the market and customers, ensuring competitiveness and offering strong value with our vehicles,” Nissan’s spokesperson said in an emailed statement. “These actions include changing shift patterns at our U.S. facilities to match production volumes with market demand.”
The automaker’s adjustments in the U.S. are part of an effort to cut 9,000 jobs globally. The company currently has 133,000 employees. In early November, Nissan reported a $60 million loss in the previous quarter and said at the time it planned to reduce production by 20 percent amid sales struggles.
The spokesperson declined to share how many voluntary buyouts they hope to secure.
“This approach ensures more efficient operations at the plants under current market conditions, while giving us flexibility to expand when future product programs require,” the spokesperson said.
Nissan and Honda, another Japanese automaker, announced last month that they are exploring a potential merger that would better position them to compete better in the everchanging automotive market.
The companies said it would take the next six months to come up with a deal and would look to establish a joint holding company, listing it on the Tokyo Stock Exchange by August 2026.
