Ford’s problems in Europe to hit areas of the UK 0

Ford UK will be affected by the problems surrounding the European car market, as reported yesterday.

As the news story progresses everyone is learning exactly what areas are to be affected and the numbers. It has been confirmed that jobs in Warley and Dunton are set to go. In total, Ford has said that 500 jobs are to be lost in Europe. Ford has 15,000 jobs around the UK. They have major production plants in Southampton and Dagenham.

275 of those could be lost in Essex as the company offer redundancy programmes. Ford’s headquarters in Warley and Dunton Technical Centre in Laindon will see jobs being cut. Ford is hoping to cut the majority of their jobs through voluntary redundancy. Third party companies and agency services will be significantly cut.

The Unite Union, who represent a great deal of Ford workers, have said that they do not want jobs to be outsourced from outside the UK. Once the job cuts have been dealt with, the Unite Union has stated that they will fight to ensure that managers remaining do not receive an excessive amount of workload following the departure of staff. A statement from the company read “Unite will be asking that its officers and reps have full involvement in this process which will be voluntary. It represents a 10 per cent cut in the 2,500-strong UK managerial and engineering workforce. Ford has said that it has excess capacity in these areas and we have to recognise the challenging economic conditions that Ford is facing, with losses of $1bn on its European operations this year.”

Ford is actively attempting to counter their problems in Europe. They are set to lose £630 million in Europe this year, an outstanding amount of money to lose. Producing more cars than what are actually being demanded.

How bad will the Ford’s situation sink? We all know of Vauxhall and Renault’s situation, but it seems that the Euro Zone crisis has finally caught up with Ford. The passenger car industry has taken a turn for the worst as demand has dramatically fallen. What is more worrying is that the European car industry is that it is expected to get even worse next year.

What is the future for Ford UK? They have the top selling car here in the UK in form of the Fiesta, but will withdraw more jobs here in the future?