Photo: Ford
Ford is getting ready to start a large purge. The company is planning on cutting 8,000 jobs. This means approximately 12% of the current workforce will be let go. The last employee headcount redaction happened at the U.S. automaker just three months ago. But now, things are happening at a larger scale, and this move paves the way for a new strategy – going all in on zero-emission vehicles.
A lot of jobs will be cut. This signals a major change ahead for the famous American auto brand. It’s stepping up its game in the EV world.
Ford confirmed three months ago, in April, that it slashed 580 jobs. But that move involved an overhaul that helped clarify the strategy of the company. People from both sides of the business were let go.
Things are now a lot clearer.
Ford is preparing to lay off approximately 8,000 of its employees over the next weeks. According to Reuters, the firing process has not been finalized yet. People working on internal combustion engine (ICE) vehicles will receive their notices soon enough. Even the salaried workforce from Ford Blue will be let go.
After asking company officials for more details on this discovery, a spokesperson refused to comment. However, they confirmed investors have been informed of the automaker’s plans to ramp up its EV production.
Ford’s T.R. Reid said the company also presented its “targets to lower the cost structure,” which will take some pressure off the electric crossovers and trucks that are not profitable yet.
The announcement comes as a surprise since Ford confirmed just last month that it’s going to add 6,200 union jobs for three of its U.S. plants. But for those listening to Jim Farley, this action isn’t bringing any shocking news. The CEO said at the beginning of this year that Ford has “too many people.”
The Michigan-based car company currently employs approximately 90,000 Americans. After this job cut will be finished, the automaker will have around 79,000 workers. The hiring process for the EV side of the business might increase the headcount again by this year’s end.
These kinds of moves will not be isolated. Mazda Europe representatives confirmed a year ago that almost nobody will be safe from the transition to zero-emission cars and trucks. Their statement was backed by other companies like Porsche or Volkswagen.
Workers, owners of internal combustion engine vehicles, and buyers of new cars are all in hot water. Some employees might get picked to be retrained, but most of those working on cars powered by gas or diesel will have to find another career path. Recently, another auto company announced that it’s giving those who voluntarily leave over $27,000.
While EVs continue to become mainstream, the value of cars powered by gasoline, diesel, liquefied petroleum gas (LPG), or compressed natural gas will fall. It won’t happen in an instant, but it will manifest itself as a prolonged process that will become clearer sooner rather than later.
Ford confirmed three months ago, in April, that it slashed 580 jobs. But that move involved an overhaul that helped clarify the strategy of the company. People from both sides of the business were let go.
Things are now a lot clearer.
Ford is preparing to lay off approximately 8,000 of its employees over the next weeks. According to Reuters, the firing process has not been finalized yet. People working on internal combustion engine (ICE) vehicles will receive their notices soon enough. Even the salaried workforce from Ford Blue will be let go.
After asking company officials for more details on this discovery, a spokesperson refused to comment. However, they confirmed investors have been informed of the automaker’s plans to ramp up its EV production.
Ford’s T.R. Reid said the company also presented its “targets to lower the cost structure,” which will take some pressure off the electric crossovers and trucks that are not profitable yet.
The announcement comes as a surprise since Ford confirmed just last month that it’s going to add 6,200 union jobs for three of its U.S. plants. But for those listening to Jim Farley, this action isn’t bringing any shocking news. The CEO said at the beginning of this year that Ford has “too many people.”
The Michigan-based car company currently employs approximately 90,000 Americans. After this job cut will be finished, the automaker will have around 79,000 workers. The hiring process for the EV side of the business might increase the headcount again by this year’s end.
These kinds of moves will not be isolated. Mazda Europe representatives confirmed a year ago that almost nobody will be safe from the transition to zero-emission cars and trucks. Their statement was backed by other companies like Porsche or Volkswagen.
Workers, owners of internal combustion engine vehicles, and buyers of new cars are all in hot water. Some employees might get picked to be retrained, but most of those working on cars powered by gas or diesel will have to find another career path. Recently, another auto company announced that it’s giving those who voluntarily leave over $27,000.
While EVs continue to become mainstream, the value of cars powered by gasoline, diesel, liquefied petroleum gas (LPG), or compressed natural gas will fall. It won’t happen in an instant, but it will manifest itself as a prolonged process that will become clearer sooner rather than later.
Google News