ford ev manufacturing at rouge ev center

Ford to cut 3,000 jobs globally in ‘changing and reshaping’ of operations

The manufacturing technology in the Rouge Electric Vehicle Center is just as innovative as the F-150 Lightning. It is the first Ford plant without traditional in-floor conveyor lines and instead uses robotic Autonomous Guided Vehicles to move F-150 Lightning trucks from workstation to station in the plant.

Ford Motor Company said it would cut 3,000 jobs in a letter to employees that was obtained by Automotive News. The affected employees will be informed this week.

“Building this future requires changing and reshaping virtually all aspects of the way we have operated for more than a century,” CEO Jim Farley and Ford said in the letter.  “It requires focus, clarity, and speed. And, as we have discussed in recent months, it means redeploying resources and addressing our cost structure, which is uncompetitive versus traditional and new competitors.”

The 3,000 jobs affected consist of 2,000 salaried positions and 1,000 agency jobs, the Automotive News report said. Ford confirmed the authenticity of the letter.

Farley detailed not only the elimination of some positions but also the “reorganization and simplifying of functions” within the company. Ford made the decision earlier this year to separate its ICE and EV businesses into “divisions.” This helped organize projects based on powertrains, as ICE vehicles fell under “Ford Blue,” while EVs are considered “Ford Model e” projects.

Ford is arguably the most committed to an electrified future among legacy automakers. While General Motors has also made strides toward transitioning to EVs, Ford has been more consistent in terms of ramping production and scaling its products. The Mustang Mach-E and Ford F-150 Lightning are already successful product launches from Ford, and the company is making any changes necessary to stay on schedule with its transition to electric vehicles.

“None of this changes the fact that this is a difficult and emotional time,” Farley said in the letter. “The people leaving the company this week are friends and coworkers and we want to thank them for all they have contributed to Ford. We have a duty to care for and support those affected – and we will live up to this duty — providing not only benefits but significant help to find new career opportunities.”

Last week, Ford sold green bonds to fund its electric vehicle projects, Bloomberg reported. Ford sold 1.75 billion in debt, which was expected to mature in 10 years, sources said. These bonds were sold to help fund and finance new and existing green projects.

Ford was down 4.88 percent at the time of writing, trading at $15.10 a share at 11:48 a.m. in New York.

Disclosure: Joey Klender does not own $F stock.

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Ford to cut 3,000 jobs globally in ‘changing and reshaping’ of operations
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