Ford will axe 1,300 jobs in the UK as it moves to “eliminate” 3,800 jobs across Europe in the next three years as part of a strategic realignment of its operations in the region.
The US brand claims it will “revitalise” its business in Europe through the creation of a leaner, more competitive cost structure and the foundations of an “unapologetically American” new line-up of passenger vehicles and its continued market leadership in the commercial vehicle sector.
In a statement issued by the OEM this morning (February 14) the general manager of Ford Model e in Europe, said Martin Sander, said: “We are completely reinventing the Ford brand in Europe.
“Unapologetically American, outstanding design and connected services that will differentiate Ford and delight our customers in Europe.
“We are ready to compete and win in Europe. Our first European-built electric passenger vehicle is being introduced this spring and will surely turn heads.”
But commenting on the sweeping job cuts that will come with the new plan, Sander added: “Paving the way to a sustainably profitable future for Ford in Europe requires broad-based actions and changes in the way we develop, build, and sell Ford vehicles. This will impact the organizational structure, talent, and skills we will need in the future.”
Under its new structure Ford plans to axe 2,800 engineering jobs as part of its transition to fully electric powertrains.
The headcount reduction will see it maintain an engineering workforce of around 3,400 roles in Europe.
Ford’s administrative, marketing, sales and distribution functions in Europe will also be reduced by around 1,000 positions, it said.
In the UK, the reductions are expected to amount to around a fifth of Ford’s current workforce, with the majority of job losses expected at its Dunton research site in Essex.
According to reports by the BBC, production sites at Halewood, Dagenham and Daventry will not be affected, however.
During the past 12 months Ford has ended production of the Mondeo saloon and its long-time best-seller, the Fiesta supermini.
It has also announced plans to axe the S-Max and Galaxy MPVs.
The OEM plans to go fully electric in Europe by 2035 with the help of a partnership with Volkswagen, but currently counts the Mustang Mach-E as its only electric vehicle (EV).
The Mach-E and electric F150 Lightening pick-up are expecetd for form the core of its new European model line-up.
Commenting on Ford’s planned European restructure plans this morning, What Car? editorial director Jim Holder said that the automotive sector was going through a “one-in-a-century transformation”.
He added: “The UK had been at the heart of Ford’s automotive empire for decades, but its position has been eroded by a succession of job cuts and plant closures.
“If the Government is serious about preserving roles in this sector it needs a strategy that puts the industry on the front foot to take advantage of the green revolution. Today, we lag behind our European neighbours and risk being overwhelmed by the investment going into the sector in the USA and China.”