Nissan to rehire workers it fired in restructuring

Thursday, February 14, 2002 at 19:00 JST TOKYO — Nissan Motor Co Ltd, Japan's third-largest automaker, said on Thursday it would rehire some employees it let go during its drastic restructuring as it prepares for a blitz of new vehicles.

Confirming its comeback from the brink of bankruptcy three years ago, Nissan said last week it would meet the profit and debt-slashing targets of its current three-year revival plan by next month — a year ahead of schedule.

The restructuring program unveiled in October 1999 by cost-slashing Nissan Chief Executive Carlos Ghosn called for 21,000 job cuts from a workforce of 148,000 and the closure of five plants.

The automaker is set to achieve the job trimming target by next month.

Nissan said on Thursday some former employees would be brought back as part of 1,000 new staff it planned to hire from April to replenish its workforce and prepare for the launch of 12 new vehicles worldwide in the coming fiscal year.

"We have had interest from former employees, and as we prepare to grow we will be bringing some back," Nissan spokesman Gerry Spahn said.

"Certainly being a former Nissan employee would give them very strong qualifications."

Spahn said workers with engineering and technological expertise would be most eligible.

Nissan, which is 36.8% owned by Renault SA, will also be hiring mid-career employees from other companies in areas such as telecommunications to help with work on advanced technologies, Spahn said.

Such technologies include intelligent transport systems and fuel cells.

The move distinguishes Nissan from many other Japanese companies, which are only just beginning to bite the bullet and cut jobs amid persistent economic gloom and record-high unemployment.

Nissan and rival automakers Honda Motor Co Ltd and Toyota Motor Corp have been among the few bright spots in Japan's corporate landscape in the current year to March. All three are expected to post record profits.

The firm's stock has gained 11% since it announced it would meet its current revival plan targets a year early and bring forward by one year its second three-year business plan. (Reuters News)