Ford to cut jobs as it restructures in Europe

Jessica Thompson

Ford will cut more than 1,000 jobs in Germany as it switches its business in the region to selling only electric cars.

The automaker plans to reduce the workforce at its European headquarters and factory in Cologne, Germany, by a four-digit number, sources told Automotive News Europe sister publication Automobilwoche.

The job losses will be across the board in assembly, engine and transmission manufacturing, and also in development, administration and sale, the sources said.

The company is creating a new business structure for its European operations, the sources said.

Ford is pulling out of low margin volume segments such as small cars and compact models in a bid to make its European business sustainably profitable.

The automaker is spending $2 billion to convert its Cologne plant to build two battery-electric cars based on Volkswagen Group’s MEB platform, while ending output of the long-running Fiesta hatchback there. It will drop the Focus compact car in 2025 after ending production of the car at its plant in Saarlouis, Germany.

Ford’s passenger lineup in Europe will become all-electric by 2030 and it expects two-thirds of commercial van sales to be all-electric or plug-in hybrids by the same date.

The head of the Cologne plant’s works council has called a meeting for all 14,000 employees of the factory on Monday.

Ford declined to comment on the report but said the transformation to electric vehicles required “significant change” in the way it produces cars.

“We have no comment on the current speculation about a possible restructuring at Ford in Europe,” a spokesperson said.

Reuters contributed to this report

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