Layoff and Temporary Layoff
Experiences

Industrial reorganization and workforce adjustment in a multinational automotive company

In this case, an industrial company with international operations was forced to rethink its structure after a sudden change in the environment and the business itself. The combination of disruptions in the supply chain, a sharp increase in prices, and an internal reorganization of the group generated operational pressure that was already reflected in negative operating results.
The conflict was not “just labor-related”: it was a problem of viability and adaptation. We analyzed how the rise in inflation and interest rates, the war in Ukraine, and the logistical strain linked to the “zero Covid” policy were affecting the industry and, by extension, the client’s business.
In addition, the sector was going through a perfect storm: semiconductor crisis, increased cost of goods, and technological transformations that forced the reconfiguration of products and processes. The report incorporated this external framework so that the cause of the reorganization was clearly understood with verifiable evidence, and not as an isolated decision.
From there, we grounded the diagnosis in the client’s productive and organizational reality. The assignment included analyzing the evolution of units sold by category, the evolution of the workforce, and the current and future economic situation with forecasts that would demonstrate the real need to act.
The work did not stop at “describing” the problem: we connected the industrial logic with its organizational impact. This involved translating changes in product mix, lines and workload into concrete implications for areas and functions, and designing measures consistent with the downsizing required by the new scenario.
The methodology combined document review and traceability (internal information and sector sources), economic-financial modeling (refined income statement and scenarios), and operational analysis (capacity, lines, shifts, and necessary structure). This methodological robustness is the key to making a report defensible: it is not enough to assert, you have to demonstrate.
With that basis, we proposed a package of measures aimed at guaranteeing viability while minimizing the impact, including job reductions, structural and organizational flexibility in schedules, shifts, mobility, rotation, and professional categories, aligning the organization with the new way of producing.
The result was a technical-labor expert report that was especially solid to support the reorganization process: it transformed a complex context (macro, sectorial, productive, and economic) into clear, quantifiable, and actionable conclusions, providing a basis for negotiation and defense with high technical security.