Ford F-150 Lightning at the 2022 New York Auto Show.
Scott Mlyn | CNBC
ADVICE – Ford Motor is cutting about 3,000 jobs from the global workforce, the majority of which are in North America.
The Detroit automaker began notifying workers of the cuts on Monday, a company spokesman confirmed.
Ford President Bill Ford and CEO Jim Farley said the cuts would include 2,000 salaried positions and 1,000 dealership jobs in the US, Canada and India.
“Building this future requires changing and reshaping virtually all aspects of the way we’ve operated for more than a century. It requires focus, clarity, and speed. And, as we’ve discussed in recent months, that means reusing resources and addressing our cost structure, not being competitive with traditional and new competitors, “read announcement.
The cuts come less than a month after Farley told analysts that “we have absolutely too many people in certain places, no doubt about that.”
The cuts are happening across areas of Ford’s business, which it split into two units earlier this year to separate the electric and internal combustion engine businesses.
“There are opportunities to become more and more efficient and effective in all business units and all the functions that support them,” Ford spokesman TR Reid told CNBC.
Ford employs about 31,000 salaried workers in North America. As of the end of last year, Ford had 186,769 employees globally, with 90,873, or 48.7%, of whom worked in the United States.
Ford is in the midst of a major corporate transformation that includes plans $3 billion in structural cost cuts by 2026, while investing billions of dollars to expand its electric and commercial vehicle businesses.
Shares of Ford fell about 5% in late Monday morning trading to $15.10 a share. The stock is down about 27% in 2022.
This is an evolving story. Please check back for updates.
