According to indiatimes, sources said that Ford will lay off more than 8,000 employees in the next few weeks in order to provide financial support for its electric car business. And Ford CEO Jim Farley (Jim Farley) recently made some remarks, sitting the rumors.
During Ford’s second quarter earnings call yesterday, Jim Farley made it clear that the company would begin layoffs. In response to a question from Morgan Stanley analyst Adam Jonas, he said, “We do have too many people in some departments, and the skills in some parts of the company are no longer applicable and need to be changed. This implies that Ford will reduce operating costs by cutting staff.
Previously, Jim Farley planned to cut $3 billion in expenses by 2026. In March 2022, Jim Farley reorganized Ford, splitting the vehicle manufacturing division into a “Model e” division, which is responsible for electric vehicle products, and a Ford Blue division, which is responsible for producing conventional fuel-efficient vehicles such as the Bronco. The former is responsible for electric vehicle products, while the latter is responsible for producing conventional fuel engines used in vehicles such as the Bronco SUV. The layoffs are expected to be concentrated in the Blue Ford division.
Ford announced its electric vehicle plan on July 26, which is expected to invest $50 billion by 2026 to build electric vehicle production bases, battery module R&D centers and other hardware facilities around the world, with the goal of increasing total electric vehicle production capacity to 600,000 units next year and 2 million units in 2026.
