Toyota has implemented a worldwide ban on overtime and weekend working as it continues to react to severe disruption in its supply chain.
The draconian measure has been introduced as the world’s largest automaker said it would lose 95,000 units following a halt to production until at least 22 March following Japan’s huge earthquake.
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Japan’s situation remains extremely fluid and although Toyota has accounted for all staff, it is unclear just how far the devastation wreaked by the triple blow of the earthquake, tsunami and resulting nuclear plant radiation uncertainty, will affect the manufacturer’s extensive supply chain.
“For Europe but also [for] all plants in the world [we will] temporarily cancel all overtime and weekend work,” a Toyota Motor Europe spokesman in Brussels told just-auto.
“If there was any overtime, this is currently cancelled. The overtime ban is for the next couple of weeks, but the planning might be revised.”
Some replacement parts production is due to restart today in a bid to alleviate the presumed vast number of vehicles damaged in what many automakers are describing as the largest earthquake ever to hit Japan.
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By GlobalDataFor Europe, around 80%-90% of parts are sourced on the Continent, with the remainder coming from Japan. “These parts are critical obviously to keep production running in Europe,” said the spokesman noting that further parts production was slated to restart on 21 March.
“In terms of Europe, what that means is for the delivery of vehicles to customers, it does not have an immediate impact because the [cars have already been] on the boat for five-six weeks.
“For later…it will depend if production is restarted after 22 March so we can’t really make any evaluation.”
