Russian car giant to cut 36,000 jobs

Russian car giant Avtovaz is preparing to cut 36,000 jobs by December to compensate for slumping demand for its models, the RIA-Novosti news agency quoted a government source as saying Friday. The cuts would represent almost a third of the company's 110,000-strong workforce and would also include the loss of 5,000 white-collar jobs at the maker of the Lada car, the news agency said.
"We were informed last week that the group is preparing to cut 36,000 jobs by December 1," a source at the Russian social development ministry told RIA-Novosti. "The job cuts will happen in stages in order to reduce social tensions," the source added. There was no immediate comment from the company.