Goodyear Tire & Rubber to cut 1,500 jobs

Goodyear Tire & Rubber has reported that they are planning to cut as many as 1,500 jobs. Most of these cuts would be applied in their non-US based operations. One of the primary reasons behind this job cut is to negate the influence of rising raw-materials prices and declining North American volumes.

Goodyear is also planning to close a U.K. based tire plant in addition to stopping the manufacturing of bicycle tires in Poland. In addition, they would also be cutting logistics, retail, and administrative jobs in the E.U., Asia Pacific and its engineered-products lines.

Goodyear is aiming to save around $30 million to $40 million after tax annually with these measures. The company added that they are looking at more ways to cut costs in the coming months.

The company had reported losses of $51 million in the fourth quarter mainly due to rising rubber prices and some other increased costs. The only bright part was that the company improved their sales.