Ford Motor Co. is taking a drastic step to prepare for an electric future: cutting thousands of jobs in Europe. The company has announced it will be cutting 12,000 jobs there as part of a restructuring effort to focus more on developing electric vehicles. The move comes as many automakers are making big bets on electrification and self-driving technology, and Ford is no exception. By retooling their operations in Europe and shifting resources to battery-powered cars, the company hopes to remain competitive in an increasingly crowded market. In this article, we’ll discuss the implications of Ford’s move and what it means for the future of automotive manufacturing.
Ford’s Electric Lineup
As Ford prepares to launch its electric vehicle lineup in Europe, the company is making some changes to its workforce. Ford plans to cut jobs in Europe as it moves towards an electric future.
The automaker announced that it will cut 12,000 jobs across Europe by the end of 2020. The job cuts are part of Ford’s plan to restructure its business in order to focus on electric vehicles.
Ford says that the job cuts will help the company save $600 million per year. The move comes as Ford prepares to launch its first all-electric vehicle, the Mustang Mach-E, later this year.
The job cuts are a sign that Ford is serious about making the transition to electric vehicles. The company has already invested $11 billion in electrification and plans to bring 40 electrified vehicles to market by 2022.
With the launch of its electric vehicle lineup, Ford is positioning itself for the future of transportation. The move away from traditional combustion engine vehicles is a necessary one if the company wants to stay ahead of the competition and meet the needs of tomorrow’s consumers.
Preparing For The Electric Lineup
Due to the rise in electric vehicle (EV) production, Ford Motor Company announced that it will be cutting jobs in Europe. The automaker plans to lay off 12,000 employees, which is about 20% of its workforce in the region.
EVs are becoming more popular as consumers are becoming more aware of their environmental impact. In order to stay competitive, Ford must shift its focus to EV production. The company has already invested $4.5 billion in electric vehicles and is planning to introduce 13 new EVs by 2022.
Despite the job cuts, Ford remains committed to its European operations. The company plans to invest $1 billion in its plants and facilities in the region.
How Many Jobs Will Be Cut?
The automaker said it will eliminate 12,000 jobs in Europe by the end of 2020 as it restructures to cut costs and focus on electric vehicles.
The job cuts are part of a $11 billion plan that includes closing or selling six plants in Europe. The company said the move will help it achieve a 10 percent profit margin in Europe by 2023.
“We are taking decisive action to transform Ford’s European business,” said Jim Hackett, Ford’s president and CEO. “We expect to deliver profitable growth and generate significant cash flow through the cycle.”
Ford has already announced plans to cut 7,000 jobs globally, including 1,500 in the U.S., as it looks to reduce costs by $25.5 billion over the next five years.