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Ford Closing Factories, Cutting 12,000 Employees in Europe

Ford Closing Factories, Cutting 12,000 Employees in Europe

Ford Motor Company announced Thursday plans to reduce its manufacturing footprint and employee count in Europe. The announcement includes the closure or sale of several assembly plants throughout the region.

According to the automaker, they will close the Ford Aquitaine Industries Transmission Plant in France, the Naberezhnye Chelny Assembly, St. Petersburg Assembly and Elabuga Engine Plant in Russia, the proposed closure of the Bridgend Engine Plant in South Wales and the sale of the Kechnec Transmission Plant in Slovakia to supplier Magna.

In total, the moves will reduce Ford’s assembly plant count from 24 to 18 in Europe by the end of the year. The company is also planning to close its Ford of Britain and Ford Credit Europe headquarters.

The reductions add up to about 12,000 employees who will have to part ways with the automaker. About 2,000 of the positions being eliminated are salary roles, part of a global reduction of 7,000 management roles Ford previously announced. Ford says most of the employee reductions are voluntary separations.

Shift reductions at Ford’s remaining European plans are also expected.

After the reductions, Ford of Europe will have three different operating divisions: Commercial Vehicles, Passenger Vehicles and Imports. The new structure is allowing Ford to leverage its newfound alliance with Volkswagen on commercial vehicles, while the other two divisions will focus on passenger vehicles produced in Europe for the local market and imports from Ford’s North American arm, respectively.

 

 





 

About Nick Saporito

AutoVerdict Senior Editor Nick Saporito began writing about cars at age 13. Nick ran a couple of automotive enthusiast sites for several years, before taking some time off to focus on his career and education. By day he's a marketing executive in the telecom world and by night he hangs out here at AV. You'll find him focusing on tech, design and the industry's future.
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