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Ford will reduce the number of workers in Europe by 4,000 by 2027.

Virgilio Machado by Virgilio Machado
November 20, 2024
in Latest News
Reading Time: 2 mins read
0
Explorer 100% elétrico é o primeiro modelo a sair da renovada fábrica da Ford de Colónia

Ford announced this Wednesday that it will reduce its workforce in Europe by 4,000 by the end of 2027, due to the economic conditions facing the automotive sector, with increased competition and sales below expectations.

The reduction in workforce will mainly affect the American brand’s operations in Germany and the United Kingdom, with minimal reductions in other European markets.

Additionally, due to the weak economic situation and lower than expected demand for electric vehicles, the company will be forced to reduce production of the new Explorer and Capri at the Cologne factory in Germany in the first quarter of 2025.

“Ford has been in Europe for over 100 years. We are proud of our new product portfolio for Europe and committed to building a thriving business for future generations”, said Dave Johnston, Ford’s European Vice President for Transformation and Partnerships, in a statement. “It is essential to take difficult but decisive actions to ensure Ford’s future competitiveness in Europe.”

Ford’s statement indicates that the automotive industry is facing a period of significant disruption worldwide as it moves toward electrified mobility, with companies “facing significant competitive and economic headwinds, while also confronting a misalignment between CO2 regulations and consumer demand for electrified vehicles”.

Ford also notes that the brand’s financial chief, John Lawler, recently sent a letter to the German government in which he reiterated the company’s commitment to Europe and the emissions targets for 2035, while calling for a joint commitment from all parties to improve market conditions and ensure the future success of the industry.

“What we lack in Europe and Germany is a clear and unmistakable political agenda to promote electric mobility, such as public investments in charging infrastructure, significant incentives to help consumers transition to electrified vehicles, improving cost competitiveness for manufacturers, and greater flexibility in meeting CO2 compliance targets”, Lawler said.

It is worth noting that Ford has made significant investments in the Cologne factory over the past four years, transforming that production unit into an infrastructure for manufacturing electric vehicles, with an investment exceeding €1.987 billion.

Tags: AlemanhaCapriDave JohnstonEuropaExplorerFábrica de colóniaFordJohn LawlerReduçãoReino Unidotrabalhadores
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