Ford layoffs hit 7,000 jobs worldwide, hundreds in US

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In an email sent to employees, Ford president and CEO Jim Hackett said that the automaker will have cut almost 7,000 employees and 10 percent of its global salaried workforce by August.

"As we have said, Ford is undergoing an organizational redesign process helping us create a more dynamic, agile and empowered workforce, while becoming more fit as a business", Bradley said.

Ford Chief Executive Officer Jim Hackett said in an email to employees that the cuts include both voluntary buyouts and layoffs, and a spokesman added it freezes open positions as well.

Restructuring work continues in Europe, China, South America and the International Markets Group and the Dearborn, Michigan-based company expects to complete the process in those markets by the end of August, Hackett said.

This comes on the heels of Ford's recent announcement that it would change its investment in its home state a bit to the tune of $900 million and 900 new jobs.

The memo provides additional details of a company-wide salaried job reduction that Ford notified employees of in October, and is part of a broader $11bn restructuring.

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A spokesperson tells 7 Action News that about 1,500 people took buyouts past year, which will bring the total eliminations in the United States to around 2,300.

This is the second set of layoffs for Detroit-area automakers, even though the companies are making healthy profits.

Months after GM shut down multiple plants in North America and continues to shrink its US workforce by 10,000 or more employees, Ford is following a similar but less extreme formula.

In November, General Motors announced it would shed up to 14,000 workers as it cut expenses to prepare for a shift to electric and autonomous vehicles. "We have moved away from past practices in some regions where team members who were separate had to leave immediately with their belongings, instead giving people the choice to stay a few days to wrap up and say goodbye". Many have been upset that it took so long for the company to make decisions. The layoffs included closure of five factories in the USA and Canada and cuts of another 8,000 white-collar workers worldwide.

General Motors has also undertaken job cuts over the a year ago for similar reasons. Some workers are being laid off, while others are being reassigned, Ford says.

Ford acknowledged in the company email that saying goodbye to colleagues is hard and emotional.