As sales slump at Peugeot the company may cut up to 10 per cent of its work force in France to save money. Christian Lafaye head of a Peugeot union said: “They will raise the job cuts target in France alone to 8,000-10,000,”
Peugeot is the second largest auto maker in Europe. Earlier it had announced up to 6,000 were to be cut in the area. In 2011 Peugeot employed about 100,000 in France and over 200,000 globally. Peugeot's European sales dropped 15 per cent over the last five months over twice the 7.3 per cent industry wide drop.
General Motors has a seven per cent share in Peugeot French auto makers are hoping that the government may introduce incentives to buy more fuel efficient cars. For more see this article.