PSA Peugeot Citroen expects to axe 11,000 workers worldwide this year after reporting net losses of EUR343m ($US444m) for 2008.

“We are expecting more than 11,000 people to leave the group in 2009 in voluntary departures,” finance director Isabel Marey-Samper told Agence France-Presse (AFP).

The company had said on Monday it would not cut any jobs in France in 2009 in return for receiving a loan of EUR3bn from the French state.

Jean-Luc Vergne, the group’s head of human resources, told AFP the number of job cuts could be “between 10,000 and 12,000 people in Europe.”

PSA Peugeot Citroen employed 207,850 people worldwide in 2007.