Jaguar Land Rover Redundancies: Guidance for Affected Staff

What has been announced

• Jaguar Land Rover has confirmed a plan to cut up to 4,000 jobs over the next two years as part of a £1.7bn cost-cutting and turnaround overhaul.
• The UK head office is reported to be most affected by the planned cuts.
• The restructuring comes as the carmaker navigates challenges including Chinese competition, US tariffs, and the transition to electric vehicles.
• Reports indicate that JLR is offering voluntary redundancies alongside wider job cuts across its operations.
• Members of Parliament have warned that the redundancies will deliver a significant economic blow to Solihull and the wider West Midlands region.

About the company

Jaguar Land Rover is Britain's biggest carmaker and a major employer in the UK automotive sector.

The company employs around 39,000 people across the UK.

Its primary UK operations include sites at Solihull, Halewood, Gaydon, and Whitley.

What happens next

Under UK employment law, because JLR proposes to make 100 or more redundancies within a 90-day period, it must engage in a minimum 45-day collective consultation period before any dismissals take effect.

Collective consultation involves company representatives meeting with trade union representatives or elected employee representatives to discuss ways to avoid dismissals, reduce numbers, and mitigate the impact.

Following collective talks, staff placed at risk should undergo individual consultation to discuss their specific roles, potential alternative employment within the business, and selection criteria.

Employees with at least two years of continuous service are entitled to statutory redundancy pay, calculated using their age, weekly pay (subject to the statutory cap), and length of service.

Voluntary or compulsory redundancy

Reports indicate that JLR has opened voluntary redundancy schemes alongside proposed compulsory cuts.

Voluntary redundancy occurs when an employee steps forward to leave the business, often in exchange for an enhanced severance package compared to statutory minimums.

Employers retain the right to accept or reject voluntary redundancy applications based on their operational and skills requirements.

If voluntary applications do not meet target numbers, compulsory redundancies are typically pursued through structured, objective selection pools and scoring processes.

Your settlement agreement

Employees accepting voluntary redundancy, or departing under negotiated terms, will typically be offered a settlement agreement.

A settlement agreement is a legally binding contract where you waive your right to bring employment claims, such as unfair dismissal, in exchange for agreed financial compensation and departure terms.

For a settlement agreement to be legally valid under English law, you must receive independent advice from a qualified legal adviser, such as an employment solicitor.

Employers almost always contribute to or cover the reasonable legal costs of obtaining independent advice on the agreement.

Common questions

How Deen & Co helps

Deen & Co Solicitors provides clear, practical advice to employees navigating redundancy and restructuring processes. Our solicitors advise on settlement agreements, review severance packages to ensure they reflect your full entitlements, and advise on fairness, statutory redundancy pay, and employment rights under England and Wales law.

Read more about settlement agreement advice or work out your statutory redundancy pay.

If your role is in London, our settlement agreement solicitors London can review the package before you sign.