Ford ready to cut jobs in the UK and Europe 1

Ford’s struggles in Europe have hit an all time low with the company announcing that they are ready to cut jobs. The company are prospering in their homeland of the United States but are struggling a great deal in the European region.

Demand has fallen thanks to the Euro Zone crisis. Families are struggling to purchase brand new passenger cars which more being produced than there are customers.

Jobs are set to be cut here in the UK and Germany as well as other plants around Europe. Voluntary redundancies will be offered with agency workers being cut. At the moment it is not know how many workers are set for the chop in Europe. Here in the UK Ford employ 15,000 workers in Southampton and at their famous plant in Dagenham. Salaried workers look to be most under threat with management jobs set to be put under scrutiny. Closures of factories in Germany will prove quite difficult when compared to other areas of Europe.

Ford are set to lose approximately £630 million this year alone thanks to operations within the European region.

The news has not been the timeliest as the Paris Motor Show is set to commence next week. It will put a dark cloud over Ford’s European prospects, despite the amazing cars they are set to showcase at the event. Many experts see the news as not much of a surprise. The amount of potential losses is unbearable for Ford bosses to read.

The loss of Ford jobs was going to come sooner or later. The 2013 automotive European market looks to be put under more pressure. With demand falling, costs need to be cut somewhere. Sales in Europe almost fell by double percentage figures for the first half of this year.
Although Stephen Odwell was recently in Amsterdam talking about the “One Ford” strategy, the figures are not quite adding up. He said at the time that Europe’s potential was massive and there was room for growth. The company have clearly changed their viewpoint in a short space of time.

The company has released a great deal of new rejuvenated models including the Ford Fiesta, Mondeo and the Ford Kuga. These will not do the trick as the failure of the European market is beyond Ford’s control.
Let’s hope that Ford do not cut too many jobs here in the UK.