Jaguar Land Rover expects to reduce its global salaried workforce by about 2,000 people in the next financial year as the U.K. automaker cuts costs under new CEO Thierry Bollore.
The Tata Motors-owned company has started briefing employees about plans for a reorganization, it said in an emailed statement Wednesday.
JLR announced a 2.5 billion pound ($3.5 billion) annual budget for investment in electrification and related technologies earlier this week and said the Jaguar brand will go entirely electric by 2025.
Ditching internal combustion engines will be a tall order for Bollore, the former CEO of Renault who joined JLR in September.
The company’s only full-electric vehicle is the Jaguar I-Pace crossover, and sales have been disappointing. JLR failed to comply with Europe’s carbon dioxide emissions rules last year and set aside 35 million pounds for expected fines.