French nuclear plant builder Areva said Thursday that it would soon negotiate with union leadership with the aim of cutting 18 percent of its labor cost, a move that would mean a loss of between 4,000 and 6,000 jobs.
Along with job losses, which would be part of a two-year plan, the company said it would also cut pay and work hours in some cases. The company's human resources department said that about 4,000 of the job losses would be in France.
Areva's workforce worldwide numbers 45,000. In France, the company payroll is around 30,000. But Areva is trying to stem losses that include a $5.3 billion in 2014, which was the fourth year in a row the company posted numbers in the red.
On Thursday, Areva's director of human resources Francois Nogue said that labor costs are currently $4 billion to $4.5 billion, which is untenable, he said, with revenue under $9 billion.
News reports say state-owned utility Electricite de France (EDF) is close to making an offer for Areva's nuclear reactor build business and its engineering divisions.
At this time, neither company is currently commenting on the talks concerning a deal.