Ford to slash 12,000 jobs in Europe, restructuring plans in pipeline
By Nikita Chaurasia  Date: 2019-06-29

Ford to slash 12,000 jobs in Europe, restructuring plans in pipeline

Ford Motor Company, the US-based multinational automaker recently announced to restructure its European operations to shift focus on commercial vehicles sector & the sale of SUVs. The restructuring exercise involves loss of 12,000 jobs – the announcement of which has been done already.

As per sources close to the matter, Ford plans to sell or close six of its European facilities. Europe was not exactly a money-spinner for Ford last year, due to decline in demand, similar to many other regions, though the demand was consistent in North America. The overall restructuring will result in improvement in the company’s financial results in Europe for 2019, Ford claimed.

Reportedly, the restructuring includes formation of 3 new business groups- passenger vehicles, commercial vehicles & imports. The company is a European market leader in pickups & vans and is expecting to double its profitability in the same within the next 5 years. Ford also has plans to push its passenger vehicle business in Europe, along with tripling its imports in this segment by 2024.

Ford seems to be targeting the SUV sector, promising 3 new models, in next 5 years (all of which will come with an electrified variant). An integrated collection of battery electric vehicles will soon be assembled in Europe.

Ford recently unveiled a new compact SUV- Puma, for the European market, based on same small-car platform as the Fiesta. The aim of introducing Puma is to draw customers away from the compact SUVs being sold by European brands, such as- Peugeot and Renault, also from premium compact-car brands like BMW’s Mini.

In a recent announcement, the company stated that its European cut would result in reduction of its manufacturing facility’s footprint from 24 to 18. Germany, Russia and the U.K. will be the most affected with cut down of 12,000 jobs – the loss means a 22% reduction of European workforce.

Source credits: http://fortune.com/2019/06/27/ford-puma-suv-job-cuts-europe/

About Author

Nikita Chaurasia    

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More

More News By Nikita Chaurasia

Tesla CEO Elon Musk reveals plans to build ventilators for COVID-19
Tesla CEO Elon Musk reveals plans to build ventilators for COVID-19
By Nikita Chaurasia

U.S. auto giant Tesla, Inc.’s CEO, Elon Musk has recently made headlines when he announced that his company is planning to develop ventilators for COVID-19 patients. The move comes after the United States government’s latest appeal for do...

Google News launches Project Oasis to support local entrepreneurs
Google News launches Project Oasis to support local entrepreneurs
By Nikita Chaurasia

Google News has apparently launched Project Oasis in partnership with the University of North Carolina, Table Stakes co-founder Doug Smith, and LION Publishers. The partnership is aimed at helping the founders and aspiring founders of digital ne...

Pfizer collaborates with BioNTech to develop coronavirus vaccine
Pfizer collaborates with BioNTech to develop coronavirus vaccine
By Nikita Chaurasia

Increasing numbers of coronavirus cases worldwide have prompted researchers to develop a potential vaccine candidate to treat COVID-19 patients. Pfizer Inc., one of the leading American pharmaceutical companies, has reportedly collaborated with BioNT...

Amplitude completes debut acquisition with ClearBrain buyout
Amplitude completes debut acquisition with ClearBrain buyout
By Nikita Chaurasia

Amplitude, a comprehensive product intelligence company, announced that it has acquired the software company ClearBrain to accelerate big product bets. The acquisition will enable customers of the company to estimate about the revenue growth driving ...

Vodafone launches its 5G network in limited parts of Australia
Vodafone launches its 5G network in limited parts of Australia
By Nikita Chaurasia

Vodafone has finally stepped up in the 5G race as it goes live with its 5G services in some parts of Australia. According to reports, the service will be available in select parts of Sydney. However, unlike other Australian telecoms, Vodafone will no...