Ford is preparing for another round of layoffs in the coming weeks to streamline operations and reduce expenses.
This move is part of its ongoing efforts to align its workforce with future business plans and enhance cost competitiveness in the evolving automotive industry.
Although the number of employees affected by the upcoming cuts remains undisclosed, sources suggest most will be US-based salaried workers.
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The cuts are expected to impact personnel in Ford’s gas-engine, electric-vehicle, and software divisions.
When approached for comment, a Ford spokesperson said the company has no announcements.
He said: “We have now made three offers that the RMT executive have blocked without a convincing explanation.”
However, the person highlighted the necessity of aligning global staffing with future business objectives and maintaining cost competitiveness as the industry transitions.
Ford CEO Jim Farley has underscored the need to bring costs in line with competitors, especially as it invests billions of dollars in transitioning its product lineup to electric vehicles.
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By the mid-decade, Ford aims to achieve at least $3 billion in annual cost reductions by addressing high warranty expenses and reducing operational complexity.
In August, Ford conducted job losses which affected approximately 3,000 white-collar and contract employees.
Earlier this year, it announced plans to reduce its European workforce by 3,800.
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In recent months, major automotive firms were cutting costs in response to rising interest rates and inflationary pressures that pose challenges to sustained profitability in the industry.
General Motors offered a voluntary buyout program to approximately 5,000 employees, aiming to achieve $2 billion in annualized cost savings by the end of 2024.
Similarly, Stellantis, the parent company of Jeep, offered buyouts to select white-collar and hourly workers in the US, citing the need for cost control and competitiveness in pricing.
