Redundancies?

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PetrolTed

Original Poster:

34,443 posts

310 months

Tuesday 2nd April 2002
quotequote all
I've heard reports of more redundancies at Lotus at the end of last week. It would appear that much of the workforce was called in last week for a meeting but I can't confirm why as yet or whether there's any truth in the story.

Bonce

4,339 posts

286 months

Tuesday 2nd April 2002
quotequote all
More on top of the load announced a fortnight ago?
Bugger!

"Paging TWR, come in please"

Bonce

PetrolTed

Original Poster:

34,443 posts

310 months

Tuesday 2nd April 2002
quotequote all
It's speculative at the moment which is why I didn't post it in the news. It may be cobblers, I certainly hope so!

Olly2000

291 posts

282 months

Wednesday 3rd April 2002
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It is a troubling time. Expect to see a few dealers dissapear soon also....

ErnestM

11,621 posts

274 months

Wednesday 3rd April 2002
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Small blurb about a few more cutbacks in this week's Lotus reMarque issue (Newsletter to Lotus Ltd Car Club members in the States)...

Also included was the code number for the Federal Esprit project - would you believe M260?

ErnestM

Hedgerley

620 posts

275 months

Friday 5th April 2002
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Had a courtesy call from my local dealer yesterday. He was pretty upbeat about prospects as you would expect him to be. Just about the entire 2002 Esprit run is sold out and Lotus are quoting a 6 month waiting time. Record Elise registrations in January were beaten in March - he alone has sold over 50 since the beginning of the year. One of the main reasons for the redundancies is improvements to and rationalisation of the new Elise production line as more automation has been introduced. If you recall a big chunk of last years loss was the delays in ramping up S2 production on this new line.

But there are indications that things aren't as bad as some would have you believe. I'm in Sales and Marketing - one of the first things to go when funds are tight are the trade shows. But Lotus are showing their wares at at least 2 events in the coming weeks (JEC Compositites in Paris and EngineExpo 2002 in Stuttgart) and don't forget Proton have invested well over £50m since they took over. They want to see some return on that surely.

So what consclusions can you draw? I guess they are not out of the woods yet given the uncertainties at senior management level, no official confirmation of the US Elise or an Esprit replacement as well as the worldwide downturn in engineering projects. But looked at as a business I'd say they are in reasonable shape. Not great - still a lot of work to do - but I reckon they can pull it off. Let's not write them off just yet - at least not before I get my 2004 Esprit......

PetrolTed

Original Poster:

34,443 posts

310 months

Friday 5th April 2002
quotequote all
I've had a bit of inside info now which clarifies what I'd originally heard.

The recent redundancies were part of the process which has been going on for the last couple of months. Most of the names of people provisionally selected were announced a couple of weeks ago and there has been little said publically although most of these staff have now left, apparently, allegedly, so we're told including famed test driver Alistair McQueen!

The final redundancies last week were a two-three senior managers (fewer than expected).