Ford to cut 800 salaried positions in United States by August

22 Mai, 2019, 02:17 | Auteur: Auguste Feret
  • Ford in China

Ford plans to eliminate about 7 000 salaried jobs - about 10% of its global white-collar workforce - as pressures mount on automakers to keep pace with massive technological shifts amid signs global auto demand has peaked.

The cuts are expected to save Ford approximately $600 (£471 / €537) million annually and Hackett said this is important for Ford's success as the company needs to "reduce bureaucracy, empower managers, speed decision making, focus on the most valuable work and cut costs".

The 7,000 cuts include some salaried positions in South America, where Ford is closing a plant and exiting some vehicle markets.

Ford chief executive officer Jim Hackett said in an email to employees the cuts included both voluntary buyouts and layoffs, and a spokesman added it would freeze open positions as well.

Ford has been struggling financially, and 1,500 employees took voluntary buyouts a year ago. About 500 workers will be let go this week.

The layoffs will cover a broad swath of the company including engineering, product development, marketing, information technology, logistics, finance and other areas.

Ford even has plans to cut off a number of jobs in the United Kingdom, but no specific details have yet been released.

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So much for President Trump's promise that vehicle companies were going to reinvest in the United States. Trump campaigned on bringing factory jobs back to the industrial Midwest.

Worldwide, Ford has 196,000 employees, according to recent company statements.

About 1,500 white-collar employees left the USA company voluntarily since the restructuring began past year, some taking buy-outs.

"Ford is a family company and saying goodbye to colleagues is hard and emotional", Hackett wrote. Many have been upset that it took so long for the company to make decisions.

"Ford is a family company and saying goodbye to colleagues is hard and emotional", Hackett said in the email.

In an email sent to employees that was given to FOX 2, officials said another wave of their redesign process will begin on Tuesday, May 21 and will be completed by Friday.

To reduce bureaucracy, Hackett said about 20 percent of upper-level manager jobs will also be cut as part of the7,000 total employees lost.

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