Two companies in the Neal & Massy Group have laid off 36 employees because of the downturn in car sales.

’In light of the 40 per cent decline of new vehicle sales on the local market, resulting from the deterioration of global economic conditions, Neal & Massy Automotive Ltd and City Motors Ltd took several steps in the last financial year to manage costs,’ the companies said in a joint statement yesterday.

The companies also implemented cost-control measures including reductions in inventory, overtime, travelling and ancillary expenses, together with negotiation with suppliers to reduce prices. 

’However, due to the continued decline in sales, a further level of cost containment, which includes a revision of our current organisational structure, must be undertaken,’ they said. ’As a result, we wish to advise that a total of 36 jobs have been cut across both organisations.’

This included 25 jobs at Neal & Massy Automotive Ltd and 11 jobs at City Motors.

’We believe that the reduction in related headcount expenses will allow the companies to continue operating satisfactorily in the present economic climate,’ the companies said. 

They said service to customers would not be compromised.

-Curtis Rampersad