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Goodyear to cut 1,100 jobs in Germany

Goodyear Tire & Rubber Co. expects to cut about 1,100 jobs in Germany as part of a rationalization plan that involves improving facilities and reducing tire production in the less profitable segments, according to a March 19 SEC filing.

The Ohio-based tire-maker said it plans to modernize Goodyear Dunlop Tires Germany GmbH's tire manufacturing facilities in Hanau and Fulda, Germany and increase the production of premium, large-rim-diameter consumer tires. It expects these initiatives to improve operating income for its Europe, the Middle East and Africa business by $60 million to $70 million on an annualized basis for a three-year period from 2020.

Goodyear said it will consult with relevant employee representative bodies regarding the proposed changes.

The company added that it expects to incur at least $135 million in total pretax charges from the plan, which is projected to be completed in 2022.