Coventry taxi maker LEVC announce 'efficiency plan' - with 180 jobs to go
Bosses say the strategic restructuring will support LEVC’s objective of safeguarding the future of the London black cab
The Coventry-based firm which makes London taxis has announced a plan of 'operational efficiencies' which is putting nearly 200 people's jobs at risk.
It's part of the London EV Company's (LEVC) objective of 'safeguarding the future of the London black cab' - which includes the development of the next generation TX Taxi.
They say the decision's been made 'against a backdrop of increasingly difficult automotive market conditions', noting a drop in demand for new electric hackney carriages because of increasing driver costs and a persistent decline in driver numbers in London and across the UK.
They also say local shifts in licensing policy have further complicated the landscape.
Bosses also argue that ongoing issues - such as cross-border hiring by private hire vehicles - are also placing added pressure on the licensed taxi trade.
In London alone, over 60% of the taxi fleet is now made up of electrified LEVC TX models, with around 9,000 operating within the city.
However, in order to secure the long-term strategic future of the brand, LEVC say they have had to make the difficult decision to drive efficiencies across its business, resulting in a compulsory redundancy programme and the restructuring of its manufacturing operations.
This will effectively reduce its TX manufacturing related workforce in Ansty by around 180 people.
Bosses stress that this will be no impact to customers, service or sales support - and this activity is part of a wider series of planned measures which will better position the brand to secure future investment in new technologies and products.
'We are exceptionally proud of our world-class products, our home in Ansty and our employees'
Alex Nan, CEO of LEVC, said: "Since its launch seven years ago, the TX has achieved many impressive milestones. With over 11,000 units sold worldwide, the fleet has collectively driven more than 1 billion miles—equivalent to circling the Earth over 40,000 times.
“In turn, this has reduced the amount of CO2 from entering the atmosphere through driven exhaust emissions by around 300,000,000 kgs, demonstrating the real-world impact of LEVC’s zero-exhaust-emission capable ‘eCity’ technology.
"We are exceptionally proud of our world-class products, our home in Ansty and our employees.
“However, with the UK taxi market continuing to experience significant challenges, LEVC has reluctantly made the decision to reduce its TX manufacturing output, resulting in a round of compulsory redundancies. LEVC will of course provide full support for its customers as normal and there is no impact on the sales or aftersales of new or used TX.
“LEVC firmly believes in the future of the UK taxi industry and we remain committed to our vision of being a leading provider of green mobility solutions. Despite the temporary challenges the taxi sector is facing, we are dedicated to safeguarding the iconic London black cab and are actively discussing with regulators the requirements to support the development of an all-new TX. In the short term, we unfortunately have to make some difficult decisions in order to ready LEVC for resilient, sustainable profitability and long-term growth.
"Ansty will always be the home of the iconic London taxi and we will announce further details on LEVC’s new strategic vision very soon.”