Amid soaring inflation, Ford cuts around 3,000 jobs

Photo Source: By Marcus Wong Wongm - Own work

It has been long speculated that Ford was looking to reduce headcount in order to address its "uncompetitive" cost structure as inflation has soared. The company will cut around 3,000 jobs globally, according to an internal email.

“Overall, we are reducing our salaried workforce by about 2,000, as well as reducing agency personnel by about 1,000,” Ford CEO Jim Farley and Executive Chair Bill Ford wrote in the joint email.

It comes as the company faces various costs and "significant transformation" of the company, particularly around a bigger focus on electric vehicles, which the executives described in an email as "uncompetitive" in nature.

We want to thank the people leaving Ford this week for all they have contributed to the company," said the executives.

“It means redeploying resources and addressing our cost structure, which is uncompetitive versus traditional and new competitors” the executives said. “We are eliminating work, as well as reorganizing and simplifying functions throughout our business.”

22 August 2022