Ford likely to cut its Asian and N American workforce by 10%

The newswire's source said that Ford will achieve its goal by offering generous early retirement incentives, rather than cutting hourly workforce or production.

But Ford said it hasn't announced any job cuts and won't comment on speculation.

In a statement, the company said it's focused on reducing costs and improving efficiency.

With light-vehicle demand slipping in the United States, the Blue Oval reportedly is setting a target of $3 billion in cost reductions this year to enhance its earnings.

As Reuters further points out, Ford's strategic plans to reduce its workforce by 10 percent may not sit well with U.S. President Donald Trump, who wants to boost employment in the auto industry.

Ford Motor Co. has announced about 1,400 job cuts coming this summer, all of those expected to be salaried employees.

Ford announced in 2015 it is investing $4.5 billion to add 13 new electric and hybrid vehicles by 2020 as it sought to position itself as a mobility company.

Following initial reports of Ford's impending job cuts, investors hardly rallied.

More news: With Merkel and PM, France's new president wastes no time

Ford Motor is planning to cut about 10 percent of its jobs around the world as the beleaguered automaker makes a new push to increase profits and lift a stock that is lagging near a five-year low.

The auto giant will release details to employees about separation packages in early June and workers will leave by the end of September, the company said.

Back in January, following criticism and pressure from Trump, Ford pledged to scrap plans for a Mexican auto plant and added 700 jobs in MI instead.

"Fields was extremely candid about the market challenges including slowing USA sales, pricing pressure and rising commodities", UBS said in a research note Monday.

Ford's board scheduled extra meeting time ahead of last week's annual meeting to press him on his plans for reversing the company's fortunes.

Ford shares were down 0.13 percent in late afternoon trading, and are down almost 40 percent since Fields took over as CEO in July 2014.

"The company's performance has been lagging, even during times when the US market was doing extremely well", said Sascha Gommel, a Frankfurt-based automotive analyst at Commerzbank.

Related Articles

  • Spurs beats Man United in stadium finale to secure 2nd spot

    Tottenham , who will be playing all their home games at Wembley next season, are next up against Leicester City on Thursday. Tottenham fans storm White Hart Lane after the final game before the stadium is demolished to be replaced by a bigger one.
    Armed rebels in C. African Republic city agree to leave

    Armed rebels in C. African Republic city agree to leave

    More than 400,000 people in the former French colony are displaced internally and 2.2 million, or almost half the population, are reliant on aid.

    Bradley Beal flops after screen from Celtics

    Porter's short floater from the lane gave him 12 points in the half, a big improvement from his scoreless performance in game 6. The Wizards were 7-0 in the playoffs when allowing under 110 points, but they fell to 0-6 when giving up more than 110.
  • Mourinho: Top four rivals would rather be in Manchester United's position

    Mourinho: Top four rivals would rather be in Manchester United's position

    Though they will miss out on the top four, Jose Mourinho's side will want to put an end to their four-game winless league run. United captain Rooney agreed with Mourinho in that Tottenham had more motivation going into the game.
    Tehran's mayor drops out of Iran election to back hard-liner

    Tehran's mayor drops out of Iran election to back hard-liner

    Raisi called Qalibaf's decision "revolutionary", the conservative news agency Tasnim reported the cleric as saying on Monday. It is increasingly hard for Rouhani to sell the deal to voters now given Trump's rhetoric.
    'Star Wars' influences top baby names; Caitlyn plunges in popularity

    'Star Wars' influences top baby names; Caitlyn plunges in popularity

    The name Kehlani rose to number 872 from number 3,359 in 2015, while the name Kylo rose to number 902 from number 3,269 in 2015. The agency also lists the baby names that increase - and decrease - the most in popularity. "Now it is suddenly controversial".
  • Si Woo Kim FedExCup standings update

    Poulter, who just a few weeks ago thought he had lost his PGA Tour card, played the best we've seen of him in months. Now he's here to stay for at least the next five years, and based on his game, probably much longer.
    Shen budget is approved, Casey and Hoffman elected to board

    Shen budget is approved, Casey and Hoffman elected to board

    A proposition to purchase three buses passed 324-65, and a proposition to establish a $500,000 capital reserve fund passed 312-76. Zelich said the district will continue to face budget increases because of annual salary, health insurance and pension increases.
    India child rape victim in abortion plea

    India child rape victim in abortion plea

    The incident came only a few days after the Supreme Court upheld the death sentence of four accused in the December 16 case. As per reports , the girl had been abducted by two men in a Santro auto from Sonipat while she was on her way to work.
  • Khloe Kardashian asks,

    Khloe Kardashian asks, "What the hell does Kylie Jenner do all day?"

    The source adds, "It's a big ass house and Kylie honestly doesn't want to be there alone with her dogs". Granted, her luxe lifestyle would be on display, but how much would we get to see the *real* Kylie.
    Supreme Court reserves verdict on Triple Talaq

    Supreme Court reserves verdict on Triple Talaq

    Citing examples, Khurshid told the court that the Triple Talaq practice can not be validated constitutionally. Meanwhile, the bench also questioned the AIMPLB on the position of e-divorce given on WhatsApp in Islam.

    UN Security Council vows sanctions over N. Korea missile test

    The White House statement called for stronger sanctions against the North but did not directly threaten military action. Council diplomats say the US and China, the North's closest ally, have been working on a new sanctions resolution.