After a reduction in exports, Toyota's plants in Sorocaba and Porto Feliz, in the interior of the state of São Paulo, in Brazil, will have 840 layoffs. Most of this group is made up of employees hired for a set time for the opening of a third shift, which will cease to exist. The company said it will work with two shifts in the units as of August 5, 2019. According to the metalworkers' union, further layoffs may occur, as the company is stocked with 32 days of sales.
The factories where the layoffs are occurring are responsible for the production of the Yaris and Etios models. So far, three hundred and forty officials have already been dismissed and another 500 will not have their contracts renewed.
According to the magazine Quatro Rodas, a Brazilian automotive publication, Toyota defended itself by stating that the layoffs are the result of "a sharp drop in sales to Argentina. The neighboring country accounts for 93% of the demand for vehicles manufactured for export. turn account for 30% of production in Sorocaba."