RUSSIA: IzhAvto may resume output in July
Russian carmaker IzhAvto may resume operations in July, business daily Vedomosti reported Wednesday, citing the company's personnel director Gennady Chernenko.
IzhAvto suspended operations in late April due to a lack of car components, Prime-Tass said. The company plans to produce about 2,600 cars per month once production is resumed, Chernenko said.
In June, the company may lay off about 60%-70% of the 2,407 employees who are expected to be dismissed under personnal cuts originally planned for August-September, Chernenko added. In the event that IzhAvto makes the staff cuts in June, all laid-off employees will receive severance pay equal to their normal three-month salaries, he added.
As of March 31, a total of 5,330 people were employed by IzhAvto.
IzhAvto is located in the city of Izhevsk in the constituent republic of Udmurtia. The carmaker currently assembles Lada cars from AvtoVAZ kits, as well as Kia cars.