Lotus jobs at risk
Up to 325 workers could go as part of Group Lotus restructuring
Lotus states there is a need 'to both reshape its organisation and reduce costs' to protect the company's future. We're told that sales have improved recently they are evidently still not where required. Of course the plan is to redeploy existing staff wherever possible but with further recruitment for key roles "to help achieve the best possible structure and skill base."
Group Lotus, the parent company of both Lotus Cars and Lotus Engineering, says the next step is to consult with workers' representatives on how job losses can be avoided, but it does sound like large scale redundancies are very likely.
Lotus CEO Jean-Marc Gales said: "We deeply regret the potential impact any reshaping of the business may have on our employees and their families. We have worked very hard to avoid the need to make the proposal, but do believe that it is now essential".
So the immediate future looks bleak - but if severe measures save Lotus's future does it become a price worth paying?
Gales has stressed the potential benefits of Lotus's restructuring, adding: "Once the reshaping has been undertaken.. Lotus should be a more competitive organisation, focusing on both producing class-leading sports cars and innovative engineering".
Potentially a huge change for Lotus then. We'll keep you posted as more details emerge over the coming weeks.
Something tells me this will go on forever. Maybe Ginetta or Caterham will take over where the Lotus Elise mk1 left off and put Lotus out of their misery.
Something tells me this will go on forever. Maybe Ginetta or Caterham will take over where the Lotus Elise mk1 left off and put Lotus out of their misery.
I don't really understand the current range or who exactly they are aimed at. There seem to be too many variations which seem to be crossing over each other. Nice enough car that the Elise and derivatives are, the prices just don't add up, and that is clearly reflected in the sales volumes.
Totally agree with the comment above, Lotus now more than ever need to keep it simple, and try to rebuild from there.
If Lotus focused on a proper successor to the original Elan they'd have a viable MX5 rival not just on spec, performance and equipment but also on price and market placement.
Sure, the Elise is a lot of fun but it's not an every day car like an MX5, and let's face it, that's where the money is.
Carpets and a stereo, power steering, nippy little engine, good chasis and a canvas roof, surely that's a winning formula?
Who's buying an Evora anyway?
I think they need to remodel their entire company around Caterham: one car, developed it, accept you will always be relatively small and niche, walk and don't fall over trying to run.
I agree the model they make would be better if it were more like an MX5 mk1, but lighter. They would sell tons compared to what they do now. Imagine if they could just pinch 5-10 % of MX5 sales.
Lotus are stuck in a no-mans land between mass production and small volume specialist products and I can't really see a way out in either direction.
I think they need to remodel their entire company around Caterham: one car, developed it, accept you will always be relatively small and niche, walk and don't fall over trying to run.
I agree the model they make would be better if it were more like an MX5 mk1, but lighter. They would sell tons compared to what they do now. Imagine if they could just pinch 5-10 % of MX5 sales.
I don't think they're viable on their own and need someone with deep pockets and an aligned business to buy them, so that Lotus get access to Groupwide R&D, parts, engines etc. VW has a cash mountain but I don't think they particularly need Lotus.
Back in the day the mk1 elise was what £22k? My mk2 111R was £27k. That is where I drew the line at spending. I think now days you would do well if you could hit the £24,995 price. Do anything possible to make that happen. If the whole company was downsized to cut costs, only made one model, maybe outsourced some key components etc. Maybe even make key components in cheaper countries then assemble in the UK to drop the price even lower. Or even use an MX5 chassis direct from Mazda! GRP body, trick bits only Lotus could do etc.
I don't think they're viable on their own and need someone with deep pockets and an aligned business to buy them, so that Lotus get access to Groupwide R&D, parts, engines etc. VW has a cash mountain but I don't think they particularly need Lotus.
The key is that they need to build sports cars which people can drive as a 'daily'. I was hugely tempted by the Evora at first glance as a replacement for my ageing 911 but soon realised it wasn't an everyday proposition. This is where Lotus are failing.
I'd be interested to hear which jobs are on the line - production, engineering, sales, marketing? Against the background that this has reportedly been a good year for sales, it's particularly disappointing to see people go. On the other hand, Lotus seem to specialise in running a 'flexible' work force. Lets hope this guy sticks around long enough to push through the changes that he feels will put the company where it needs to be.
And here we go again with the commentary. If the MX-5 is such a desirable model, go and buy it. Apparently it's pretty good. Don't ask Lotus to build one though.
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