FORD MOTOR COMPANY HAS SOME BAD NEWS FOR WORKERS IN EUROPE TO END THE YEAR. IT PLANS TO CUT 4000 JOBS.
ABOUT 3000 OF THE LAYOFFS WILL HAPPEN IN GERMANY AND ANOTHER 800 IN GREAT BRITAIN, AMOUNTING TO ABOUT 14% OF ITS EUROPEAN WORKFORCE.
FORD SAYS ITS BIGGEST STRUGGLES ARE WITH PASSENGER VEHICLES AS IT DEALS WITH FINANCIAL LOSSES ATTRIBUTED TO A SHIFT AND EMPHASIS ON ELECTRIC VEHICLES. THE COMPANY CALLED THAT **HIGHLY DISRUPTIVE**.
THE TOP FORD FINANCIAL OFFICIAL SAYS A COMBINATION OF A LACK OF DEMAND AND CARBON DIOXIDE EMISSIONS REGULATIONS ARE BIG HURDLES.
FORD CFO JOHN LAWLER, RECENTLY WROTE A LETTER TO THE GERMAN GOVERNMENT SAYING “ WHAT WE LACK IN EUROPE AND GERMANY IS AN UNMISTAKEABLE CLEAR POLICY AGENDA TO ADVANCE E-MOBILITY, SUCH AS PUBLIC INVESTMENTS IN CHARGING INFRASTRUCTURE, INCENTIVES TO HELP CONSUMERS MAKE THE SHIFT TO ELECTRIFIED VEHICLES, IMPROVING COST COMPETITIVENESS FOR MANUFACTURERS AND GREATER FLEXIBILITY IN MEETING CO2 COMPLIANCE TARGETS.”
THE LOWER THAN EXPECTED DEMAND WILL AFFECT PRODUCTION OF SPECIFIC MODELS : THE NEW FORD EXPLORER AND THE NEW FORD CAPRI, LEADING TO A REDUCTION OF THE WORKFORCE IN GERMANY IN EARLY 2025.
THIS IS THE SECOND MAJOR LABOR REDUCTION, ANNOUNCED BY FORD, IN AS MANY YEARS. LAST YEAR THE AUTOMAKER LAID OFF 3800 WORKERS.
OTHER CAR COMPANIES, SUCH AS G-M, NISSAN AND STALLANTIS, FORMERLY CHRYSLER, HAVE ALSO ANNOUNCED PLANS TO CUT JOBS IN EUROPE. IN ADDITION, VOLKSWAGEN IS EXPECTED TO CLOSE PLANTS IN THE NEAR FUTURE.
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