The UK market is fluctuating as Ford plans to reduce manpower and dropout workers from its office. So, it has caused grave concern among people.
As per reports, carmaker Ford has decided for a major shake-up of its operations in the UK and Europe.
It is expected that thousands of workers will lose jobs across Europe, including the UK, although cuts at its UK factories are not thought to be imminent.
But Ford’s Europe boss Steven Armstrong said should the UK leave the EU without a negotiated deal, a further review of UK operations would take place soon. Ford is now going to talk with unions about measures and ways to reduce cost.
This means focusing more on profitable models and exiting less profitable markets, to concentrate more in future on electric and hybrid technology.
The firm will expand its commercial vehicle business, which will be one of the new divisions to be created, along with passenger vehicles and imported vehicles.
Ford wants the changes will enable them to achieve 7% operating margin in Europe.
The UK’s biggest union said it is working closely with Ford to protect jobs in the UK and look after the interests of employees.
Mr. Armstrong one of the members of the firm said: “they needed to address the parts of the business that is unprofitable”. He also said that this is not a consequence of the Brexit situation. “This is just not a one or two-year issue.”
If Brexit goes in the wrong direction than they have a hard Brexit, they would need to look again about what they could do to mitigate the impact of that situation.
The announcement will renew concerns about the long-term future of the Bridgend plant in particular. It is due to a major contract to build engines for Jaguar Land Rover in 2020.
Profits at Ford of Europe have hit a new low, due to the fall in the value of pound as a result of uncertainty over Brexit. It is one of many factors that has affected the business, which has been underperforming for years.
Mr.Armstrong, the chief said that the Company was in negotiation with staff representative about potential job cuts at its Saarlouis plant in Germany where 6190 staff assemble cars, as the firm was considering discontinuing production of its Ford C-Max model.
So, let’s see what the future holds.