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The Company Ford Plans To Cut Up To 3,200 Employees From Its Workforce In Europe And Transfer Part Of Its Product Development Work To The United States, Says German Union Center IG Metall On This Monday (23).
An Increase In Costs For Battery Productions And Prospects Of Economic Slowdown In The United States And Europe Are Putting Pressure On Automakers.
In Particular, The Price War In Electric Vehicles Launched By Tesla That Occurred This Month Intensified The Situation, Analysts Say.
The Vehicle Company Ford Is Planning To Lay Off More Than 2,500 Employees In Product Development And About Up To 700 Administrative Positions, With A Location Of The Company In Germany Being The Most Affected, IG Metall Stated.
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The Ford Representative In Germany Did Not Comment On The Matter.
Ford Employs More Than 45,000 People In Europe And Is Planning Seven New Electric Vehicles For The Region, Including A Battery Assembly Plant In Germany And A Nickel Cell Plant In Turkey.
However, Ford’s Pre-Tax Profit Margin In Europe Was About 2.2% Of Sales In The First Nine Months Of 2022, Which Caused Its Levels To Drop Below Those Of North America.
“We Will Not Hesitate To Use Measures That Could Seriously Impact The Company, Not Only In Germany But Throughout Europe,” IG Metall Stated.
Some Workers At The American Automaker’s Plant In Cologne, Which Employs More Than 14,000 People – Including 3,800 Working In The Development Center In The Merkenich Neighborhood – Were Informed About The Company’s Plans During Workers’ Council Meetings On This Monday (23).
The Ford Company Refused To Comment, Referring To A Statement On Friday In Which It Said That The Shift In Electric Vehicle Productions Required Structural Changes, But Would Not Comment Further Until All Plans Were Finalized.
Ford Announced Last Year A US$ 2 Billion Investment In Expanding Production At Its Cologne Plant – Currently Producing The Ford Fiesta, As Well As Engines And Transmissions – For The Manufacturing Of Fully Electric Models For The Mass Market.
The Company Is Planning About Seven New Electric Models In Europe, A Location For Battery Assembly In Germany And A Joint Venture For Nickel Cell Manufacturing In Turkey, As Well As A Large Part Of Electric Vehicles (EV) In The Continent.
The Ford In Europe Produces, Sells, And Services Ford Brand Vehicles In 50 Markets, Employing More Than 45,000 People In Its Own Facilities And Established Joint Ventures, According To The Website.
“If The Negotiations Between The Workers’ Council And Management In The Coming Weeks Do Not Ensure The Future Of The Workers, We Will Join The Process. We Will Not Refrain From Measures That Could Seriously Impact The Company Not Only In Germany But Throughout Europe,” Concluded IG Metall.
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