Ford to cut 3,800 jobs in Europe, mostly Germany, UK
NEW YORK
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U.S. automaker Ford said yesterday it would cut 3,800 jobs in Europe, mostly in Britain and Germany, as competition in the electric car sector intensifies.
The company said 2,300 positions in product development and administrative functions would be slashed in Germany, 1,300 in Britain and another 200 elsewhere in Europe over the next three years.
“These are difficult decisions, not taken lightly,” said Martin Sander, general manager of Ford Model e in Europe. “We recognize the uncertainty it creates for our team, and I assure them we will be offering them our full support in the months ahead.”
The company said the decision was aimed at revitalizing its business in Europe and competing profitably with a new line-up of passenger vehicles.
The job cuts in Germany are lower than the 3,200 layoffs that the IG Metall union had expected in January.
“The company is taking action to restructure its business in Europe, creating a leaner, more competitive cost structure,” Ford said.
The company said it was “responding to rapidly changing market conditions and a growing field of electric vehicle competitors entering the market.”
Ford said the job reductions would be done through voluntary departures and that it would maintain an engineering organization of around 3,400 roles in Europe focusing on vehicle design and development.
The U.S. auto giant announced thousands of job cuts in the U.S. and India last year.
