DETROIT (AP) – Ford is almost finished with a major global restructuring plan, labeled Smart Redesign, and by the time it ends in August the automaker will have cut 7,000 white-collar jobs.
The company said Monday the plan will save about $600 million per year by eliminating bureaucracy and increasing the number of workers reporting to each manager.
The cut amounts to 10 percent of Ford’s global salaried workforce.
In the U.S. about 2,300 jobs will be cut through buyouts and layoffs, 1,500 already have happened. 500 workers will be let go this week.
Voice of America’s White House Bureau Chief Steve Herman tweeted a letter from Ford CEO Jim Hackett.
Employees of @Ford just informed that 7,000 jobs are being cut as part of a restructuring plan. pic.twitter.com/3f4nYK0Ckz
— Steve Herman (@W7VOA) May 20, 2019
After detailing the plan and its impact on the company, Hackett told employees there’s still work to do.
“Even as we conclude Smart Redesign, we still have a lot to do in the coming months. We will continue to work collaboratively and respectfully with our teams and other partners to ensure our designs are effective and fit and that our employees are treated with fairness and respect,” wrote Hackett.
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