Ford will cut 4000 jobs from its European workforce, primarily those based in the UK and Germany, due to concerns over the “health” of its passenger car business.
The Blue Oval said it had incurred “significant” losses in recent years, blaming failings on industry disruption that includes “unprecedented” competitive, economic, and regulatory headwinds.
“It is critical to take difficult but decisive action to ensure Ford’s future competitiveness in Europe,” said Dave Johnston, Ford’s European vice president for transformation and partnership.
The cuts will be made by the end of 2027, creating what Ford calls a “more cost-competitive structure” to ensure the brand’s long-term European survival as well as its ability to grow.
Which jobs will be axed, and specifically where, have yet to be announced, but will “primarily impact operations in Germany but also the UK”, with minimal reductions in otherEuropean markets, said Ford.
In the UK, Ford owns the Dagenham engine factory and Halewood transmission plant, the latter receiving £125 million of investment in 2022 to both increase capacity by 70% as well as to get it ready for electric motor production.
In Germany, the brand has two vehicle production plants. Its Cologne factory is crucial to its European business as it builds the Explorer and Capri, while employing around 4000 workers.
The latest news follows a period of great change for Ford of Europe, which in recent years culled popular ICE models such as the Fiesta and Focus in favour of a new wave of electric models including the Explorer and Capri.
“We are proud of our new product portfolio for Europe and committed to building a thriving business in Europe for generations to come,” added Johnston.
However, such was its difficulties, Ford’s electric vehicle boss Marin Gjaja told Autocar that the company’s plan to go all-electric by 2030 in Europe was “too ambitious”, blaming the “uncertainty” around EV demand and legislation