British industry was dealt another blow as Mclaren announced it is axing 1,200 jobs due in the wake of the coronavirus.
That represents around a quarter of the ‘supercar’ maker and Formula 1 team’s workforce.
It comes after Rolls Royce and British Airways earlier this month slashed 9,000 and 12,000 jobs respectively.
Such job losses confirm the stress on the engineering specifically and the broader economy.
“We now have no other choice but to reduce the size of our workforce,” said Paul Walsh, McLaren chairman.
“This is undoubtedly a challenging time for our company, and particularly our people, but we plan to emerge as an efficient, sustainable business with a clear course for returning to growth.”
The extent of the employment problems won’t be fully understood until all lockdown restrictions are lifted, furlough schemes are wound-down and businesses try to restart into a ‘new normal’.
Retail appears to be among the next wave of businesses to “come back”.
John Lewis is set to reopen its department stores from 15 June, while Greggs similarly wants to open 800 of its 2,050 outlets from mid-June.