Ford heralds the next round of job cuts
Recently, Ford has completed a restructuring program, and another one is following soon. According to the works council, there will be another job reduction of yet unknown magnitude. The labor representatives are unhappy - not only because they were left to deliver the news.
Ford is reportedly cutting back in Europe again, according to the works council chairman of Ford Europe, Benjamin Gruschka. We have been informed that there will be another restructuring program in Cologne and at other EU sites, he said. We should become "leaner and more efficient."
According to his statements, this is the fourth restructuring program since 2018. At that time, Ford still had nearly 20,000 employees in Cologne. Currently, there are only about 13,000. The exact scope of the planned job cuts in Germany is still unclear, according to the management. They will reportedly only inform the works council about this at the end of June. The company was not reachable for press inquiries.
Ford is going through a difficult phase. Long-established gasoline models like the small car Fiesta were phased out, and Ford's market share in Europe has declined over the years. Parts of the development department have moved to the USA. However, the US parent company invested nearly two billion euros in its Cologne site, which not only houses the European headquarters but also production.
Site Saarlouis to be closed
Not long ago, the first electric Ford Explorer rolled off the assembly line as a series vehicle - it is the first electric vehicle produced by Ford Europe for the mass market. Another model is expected to follow this year. The production capacity for these two models will total up to 250,000 vehicles per year in the future.
Works council chairman Gruschka expressed sharp criticism. "Instead of focusing on the market launch of the two electric cars from Cologne, European top management is causing uncertainty with its announcement of a new restructuring wave," Gruschka said. We have just finished one restructuring plan, and another one is coming.
The management reportedly stayed away from a works meeting on Tuesday morning and left the labor representatives to deliver the bad news. In addition to Cologne, Ford has a site in Saarlouis (Saarland), where production is scheduled to end by the end of 2025 - a decision that was made some time ago.
The ongoing restructuring in the car industry has affected Ford, with another program planned soon, as stated by Benjamin Gruschka, the works council chairman of Ford Europe. This restructuring will not only take place in Cologne but also at other EU sites, leading to a leaner and more efficient car manufacturer.
Despite the upcoming restructuring, Ford has made significant investments in its Cologne site, including the production of electric vehicles, such as the first electric Ford Explorer. However, the exact magnitude of the planned job cuts in Germany remains uncertain.
