Renault’s Dacia Offers Employees Financial Incentives in New Voluntary Layoff Program

Written by Kathrine Frich

Sep.09 - 2024 9:47 AM CET

Autos
Photo: Shutterstock
Photo: Shutterstock
Dacia is set to launch a voluntary layoff program starting October 1st.

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Dacia is set to launch a voluntary layoff program starting October 1st, as part of a broader restructuring initiative. According to internal company communications, this program offers financial compensation to employees who voluntarily leave, with payouts determined by years of service.

Up to $45,300

Employees interested in the program must submit their applications between September 9 and 20, with the final deadline on September 20.

Those accepted will receive their severance payments along with their September paychecks. Compensation amounts vary based on tenure: workers with up to two years of service will receive 22,000 lei (around $4,800).

Employees with two to four years of experience will receive 55,000 lei ($11,800), while those with four to eight years can expect 98,000 lei ($21,100).

Workers with eight to twelve years of experience will receive 120,000 lei ($25,900), and those with 12 to 16 years will be compensated with 150,000 lei (approximately $30,000). Employees who have been with the company for more than 16 years will receive 185,000 lei ($39,900).

Higher compensation packages are available for employees facing health-related issues, such as work-related injuries or occupational illnesses, with payouts of up to 210,000 lei ($45,300).

Discount Prices

In addition to severance packages, employees who take the offer can purchase vehicles from Dacia, Renault, or Nissan at discounted prices, in accordance with their collective bargaining agreements.

This voluntary layoff program comes as Dacia reorganizes its operations. The company is transferring production of its Jogger model from Romania to Morocco and will replace it with the new Bigster model.

However, Bigster's production volume will be lower in its first year. Dacia is also investing in automation, reducing the need for manual labor, which has influenced the decision to offer voluntary layoffs. Two new models are expected to enter production at the Romanian plant, but not until 2026.

Dacia is not currently sold in the U.S. or Australia, but it is a popular brand in the UK and across Europe. Dacia is a Romanian car manufacturer owned by Renault, and it is known for producing affordable and practical vehicles. In the UK, Dacia models such as the Duster, Sandero, and Logan have gained popularity due to their budget-friendly prices.

In the U.S., Dacia's parent company, Renault, does not sell Dacia-branded cars, though some Dacia models have been sold in other markets under the Renault brand. In Australia, Dacia vehicles are not available either, as Renault focuses on its own brand in that region.

Dacia’s appeal largely lies in Europe, where it is well-known for delivering cost-effective, no-frills cars.