Photo: David Rodriguez Munoz ~ USA TODAY NETWORK
June 27, 2023 ~ A currently unknown number of salary jobs will be cut by the Ford Motor Co. this week.
Certain company units are working from home as of Monday, as employees will be privately notified of their layoffs over the next couple of days. This follows multiple rounds of layoffs from late 2022 and early 2023 from Ford, with the company looking to make cost-cutting measures during the restructuring phases of its Ford+ plan.
The layoffs will primarily affect engineers across U.S. and Canada in all three of Ford’s business areas. These are Ford Blue (its internal combustion engine operations), Model e (its electric vehicle fleet), and Ford Pro (its fleet of service operations).
PODCAST:
June 27, 2023 ~ Mike Strong, managing editor of TheDetroitBureau.com, talks with Guy Gordon and Lloyd Jackson about Ford Motor Co.‘s expected layoffs of salary jobs.
(CONTINUED) Ford CEO Jim Farley made comments earlier this year that he wanted to reduce the $7-8 billion cost disadvantage the company has compared to its competitors by cutting expenses.
“I think it takes us 25% more engineers to do the same work statements as our competitors,” Farley said in February. “I cannot afford to be 25% inefficient.”
Michael Strong, managing editor of TheDetroitBureau.com, said to 760 WJR’s Guy Gordon that the company is also looking to grow its profit margins.
“What they (Ford) would call it is ‘rightsizing,’” Strong said. “They feel like they need to do more with less. Part of that is driven by this goal of reaching a double-digit profit margin by 2026, and one of the ways they have to do that is fewer (employees) doing more things.”
Ford recently cut 3,000 North American jobs in August of last year, along with about 3,800 European workers earlier this year.
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