Ford will cut 3,000 jobs this week in the United States, Canada and India, company Chairman Bill Ford and CEO Jim Farley said in a letter sent to workers on Monday.
According to local media reports today, Ford will eliminate the 3,000 jobs as part of the company’s restructuring plan, called Ford+.
At the end of 2021, Ford employed 186,769 people worldwide, of which almost half, 90,873, work in centers located in the United States.
In the letter, the directors explain that the restructuring of the company requires modifying the use of Ford’s resources as well as its “cost structure”, which “is not competitive against traditional and new rivals”.
“We are eliminating work at the same time that we are reorganizing and simplifying functions throughout the company,” they added.
The job cuts will materialize in the coming weeks and will affect the company’s two divisions: Ford Model e, which focuses on the development and production of electric vehicles, and Ford Blue, which makes cars with combustion engines.
The announcement of the layoffs comes at a time when many companies are accelerating their efforts to cut costs in the face of rapidly rising inflation and fears of a global economic downturn.