Ford restructures in Europe, 800 UK jobs to go
Plan for 'long-term competitiveness in Europe' will see thousands of jobs go in its passenger vehicle business
Ford has confirmed that 4,000 jobs will go across its European workforce, as part of a plan to ‘create a more cost competitive structure'. The cuts, which will include around 800 UK-based roles, are expected to occur by the end of 2027. It follows a fairly torrid time for the industry generally - Covid, supply chains, inflation, limited EV demand - and a rotten couple of years for Ford generally, with the demise of the much-loved Fiesta and electric cars that have been good rather than great. The Focus ST will bow out in fine fettle, the continued evolution of the Mustang is great news, and the Ranger Raptor is brilliant - but their standout quality has served to highlight its shortfall elsewhere. At least the Puma still sells extremely well.
In its announcement, Ford spoke of the ‘significant disruption’ in the shift towards electrified mobility and the dichotomy between what they’re being asked to make and what people actually want to buy. CFO and Vice Chairman John Lawler wrote a letter to the German government as part of the restructure confirmation; he said: “What we lack in Europe and Germany is an unmistakable, clear policy agenda to advance e-mobility, such as public investments in charging infrastructure, meaningful incentives to help consumers make the shift to electrified vehicles, improving cost competitiveness for manufacturers, and greater flexibility in meeting CO2 compliance targets.” Plenty that’s been heard before, though it does seem to come with additional urgency now Ford is having to axe thousands of jobs to stay on track. Ford says it’s still committed to no longer selling combustion engined cars in Europe from 2035.
The bulk of the job losses will come in Germany, with something like 2,900 roles up for redundancy. Weaker than expected demand for EVs (after a $2bn investment in the Cologne facility and staff) will see the Explorer and Capri production lines run at reduced capacity. Over here, the losses will be in admin, commercial and development roles, rather than at factories like Dagenham or Halewood.
Bleak news then, though Ford says it remains committed to the continent. Dave Johnston, Ford’s European vice president for Transformation and Partnerships, added: “We are proud of our new product portfolio for Europe and committed to building a thriving business in Europe for generations to come. It is critical to take difficult but decisive action to ensure Ford’s future competitiveness in Europe.” We’re told to expect a future line-up with a ‘thriving’ Ford Pro CV business, a select range of passenger cars (and powertrains) that are ‘successful and profitable’ as well as a ‘modern, highly efficient industrial system.’ All sounds very sensible, though at the moment it feels like strategy, ambition and targets will have to remain fluid as the situation continues to evolve. In the meantime, and more pertinently: best of British to any Ford employees directly affected.
They aren’t going to survive on Mustangs (£5k first year road tax anyone?), the VW based Explorer and Capri have had a mediocre reception and the Mach E already isn’t selling. The Focus is close to the chop and the Fiesta already gone.
What does that leave? Puma and Kuga plus the Commercials.
At this rate I’d not be surprised if Ford of Europe was Commecials only within 5 years. That would be a real tragedy.
They aren’t going to survive on Mustangs (£5k first year road tax anyone?), the VW based Explorer and Capri have had a mediocre reception and the Mach E already isn’t selling. The Focus is close to the chop and the Fiesta already gone.
What does that leave? Puma and Kuga plus the Commercials.
At this rate I’d not be surprised if Ford of Europe was Commecials only within 5 years. That would be a real tragedy.
If you are talking production, Commercials moved to Turkey a while ago (As well as other non-European factories). No Commercials are made in Europe.
If you are talking production, Commercials moved to Turkey a while ago (As well as other non-European factories). No Commercials are made in Europe.
I’ve had a few Ford’s in the past where there was a model for everyone and a spread of variations within that model line.
Now? A Puma or a Kuga now that the Focus is almost gone? Hardly the land of plenty is it? Two uninspiring cars in a sea or mediocrity that do little to distinguish themselves from the competition.
Electric is no better. The Explorer seems a decent enough choice but the new Capri? Just no.
Ford need to do a lot better.
If you are talking production, Commercials moved to Turkey a while ago (As well as other non-European factories). No Commercials are made in Europe.
They aren’t going to survive on Mustangs (£5k first year road tax anyone?), the VW based Explorer and Capri have had a mediocre reception and the Mach E already isn’t selling. The Focus is close to the chop and the Fiesta already gone.
What does that leave? Puma and Kuga plus the Commercials.
At this rate I’d not be surprised if Ford of Europe was Commecials only within 5 years. That would be a real tragedy.
TX.
If you are talking production, Commercials moved to Turkey a while ago (As well as other non-European factories). No Commercials are made in Europe.
If all customers wanted suvs then the cars would be selling, historically I know the suv has sold well but now its the only option is the market saturated? Has the trend run its course?
All I can say is nothing ford makes now interests me apart from the mustang.
t.Ford's problem (and GM's before it exited Europe) is that it's stuck in the middle. In the Ford/GM Europe heyday of what, 80s-90s, budget cars were crap and people were embarrassed to be seen in them, while premium brands were better but out of reach. Budget cars improved and people became less ashamed, proud even, of economising while premium brands lowered their entry level, squeezing the likes of Ford from both sides.
Went past on Saturday and Sunday and both times there were no customers around. No banners or anything promoting the car and nothing substantial on Social Media. It was like the Dealership couldn’t even be bothered promoting it.
You have to wonder had Ford brought out a Capri as a modern retro coupe then people would have been down there looking at it (and putting in orders).
I think many manufacturers would kill to have an iconic retro brand like Capri, but Ford completely misjudged it.
They have lost the plot, they seem to be run by play it safe accountants, with just a line up of four or five SUV’s. with no European “Halo” models. I too can see little future for them other than commercials, if they continue with the current line up.
The (mass market) coupe is a dead/dying segment. At best there'd be an initial flurry of orders that then peter out.
Went past on Saturday and Sunday and both times there were no customers around. No banners or anything promoting the car and nothing substantial on Social Media. It was like the Dealership couldn’t even be bothered promoting it.
You have to wonder had Ford brought out a Capri as a modern retro coupe then people would have been down there looking at it (and putting in orders).
I think many manufacturers would kill to have an iconic retro brand like Capri, but Ford completely misjudged it.
They have lost the plot, they seem to be run by play it safe accountants, with just a line up of four or five SUV’s. with no European “Halo” models. I too can see little future for them other than commercials, if they continue with the current line up.
They came up with the Probe which was only a rebadged Mazda MX6 anyway. I told the guy on the Ford stand at the Motor Show in 1988 it just wasn't a Capri. It was FWD, barely any more powerful and just didn't look like a Capri. I'd go to the Mazda stand if I wanted one of those. He didn't know how to reply.
But this latest iteration is just terrible on a different scale, much like the Puma and Kuga!
After killing the Mondeo, Focus and Fiesta commercials made in the former Eastern Bloc may be their only hope of survival in Europe. Not everyone wants an SUV.
The (mass market) coupe is a dead/dying segment. At best there'd be an initial flurry of orders that then peter out.
The (mass market) coupe is a dead/dying segment. At best there'd be an initial flurry of orders that then peter out.
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