Russia's largest car maker AvtoVAZ will lay off 27,600 workers, more than a quarter of its employees, to battle spiraling losses, AP cited the company as saying today. The company said layoffs this year of up to 36,000 had been discussed, but the AvtoVAZ trade union provided a plan reducing that figure. The company, based in Togliatti, has been struggling with flagging demand as consumers cut back on their spending. It currently works at 65 percent of capacity. AvtoVAZ is 25-percent owned by France's Renault and has been loss-making for years. Demand for its Lada sedans has fallen sharply amid the economic downturn.
