FORD TO CUT 3200 JOBS IN EUROPE, GERMANY THE HARDEST HIT.
Written by AIGBOKHAEBHO OKHUELEIGBE on January 24, 2023
Ford Motor Company, the American multinational automobile manufacturer, is planning to cut over 3000 jobs across Europe and move some product development work to the United State, with Germany being the hardest hit.
Ford wants to axe 2,500 jobs in product development and a further 700 in administrative roles, this is in its efforts to cut costs and increase focus on electric vehicles.
IG Metall, the dominant metal workers’ union, which represents 2.2 million members in the metal, electrical, iron, steel, and automotive industries, said other reductions could fall at sites in Belgium and the United Kingdom.
Workers at the US carmaker’s Cologne site, which employs around 14,000 workers, including 3,800 working at a development center in the neighborhood of Merkenich were informed at works council meetings on Monday of the new plans, though it had warned in June last year of “significant” job cuts to come in the near term at its factory in Spain and its plant in Saarlouis, Germany, as the shift to Electric Vehicle production meant it would require fewer labor hours to assemble cars.
IG Metall said:
If negotiations between the works council and management in the coming weeks do not ensure the future of workers, we will join the process. We will not hold back from measures that could seriously impact the company not just in Germany but Europe-wide.
On their own part, Ford in a statement said:
We have no comment on the current speculation about a possible restructuring at Ford in Europe. Ford remains committed and is currently accelerating its plans to build an all-electric portfolio of vehicles in Europe.
By 2030, all new passenger cars sold by Ford in the EU will be electric, and by 2035 all-new Ford Pro commercial vehicles will be electric. This transformation requires a significant change in the way we develop, build and sell Ford vehicles, and will impact our organisational structure, talent and skills we will need in the future. More details will be shared once our plans are final and we have informed our employees first.