Mahindra says Roxor 2021 will still be made in Detroit after laying off nearly 250 redundant roles

• Mahindra & Mahindra (M&M) slashed nearly half of the redundant job roles at its North American unit.
• In a written statement to Business Insider, Mahindra’s spokesperson said that its Detroit centre would continue work on its electric car platforms and prepare for the launch of the New Roxor 2021.
• Reports indicate the positions were cut across various verticals, including engineering staff, at its Detroit-based plant, which rolls out off-road vehicle Roxor.

One of India’s largest automakers, Mahindra & Mahindra (M&M), has slashed nearly half of the redundant job roles at its North American unit even as it remains focussed on building its electric vehicles business. It took these tough measures as it looks to conserve cash and work towards building a leaner organisation across global businesses.

According to its official website, MANA employed around 500 people till early 2020, is reported to have slashed over half of the workforce. Reports indicate the positions were cut across various verticals, including engineering staff at its Detroit-based plant.

In a written statement to Business Insider, Mahindra’s spokesperson said that even as it realigns its workforce and cuts down on non-core operations, work will continue at its Detroit centre on the ‘Born Electric’ platforms. Mahindra is also preparing to launch the New Roxor 2021, for which they continue to ‘retain as well as bring in new and relevant skilled talent.’

Mahindra opened the Detroit plant in 2017 with an investment of $230 million, marking its first automotive plant in nearly the city in three decades. The North-America plant plays an important role in building out off-road vehicle Roxor and GenZe Electric scooters for Mahindra.

Although the company did not announce the number of employees that were laid off, it said that given the challenging business environment, the North American unit has combined some of the job roles, and reduced the resultant redundant jobs.

The Mahindra Group remains firm on implementing capital allocation norms, with a sharp focus on financial returns, driving growth, and continued improvement in international subsidiaries, the statement added.

The company had recently invested $1.6 billion to revamp two old engine plants to build the new versions of the popular Jeep Grand Cherokee SUV — the production is likely to start by the end of March. It will also build two-row and what likely will be plug-in hybrid electric versions of the Grand Cherokee later this year at the Detroit Assembly complex.

M&M is planning to focus on manufacturing large sport-utility vehicles and electric models for its core India market, where the company has struggled competing with its peers such as Tata Motors and Kia.

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