blog counter
Ford cuts 350 jobs : Car Advice | News Blog

Ford cuts 350 jobs

August 22, 2008 by Alborz Fallah  




Ford Australia has today announced that it will cut up to 350 jobs, or 15 per cent of its Australian manufacturing workforce from mid-November. The company blames a slump in large car sales for the downgrade.

Ford cuts 350 jobs

Those affected will include workers from both the Geelong and Broadmeadows plants. However Ford spokeswoman Sinead McAlary said job losses would be voluntary and evenly split between the two plants.

Ford Australia believes the increasingly volatile price of petrol, plus economic factors such as interest rates have changed Australian’s desire for large cars.

The 350 jobs would result in a production slow down of about 20 to 25 per cent. Essentially this means instead of 52 Falcons and Territorys produced per hour, that number will be reduced to 40 units. The Blue Oval will now produce only 285 cars per day, as oppose to the current 365.

Ford Territory

The Territory has seen a noticeable slow down with only 1028 of the SUVs sold last month, compared to 1555 in July 2007. Meanwhile Ford sold 3448 new FG Falcons last month, an increase of only 262 cars over the same month last year.

“We expect the total industry to soften for the second half of this year, It started in July and we anticipate that we’ll see more of these actions across the industry for the rest of this year.” McAlary said.

This is the second announcement of job losses by Ford, following the earlier announcement that 600 jobs would be lost when local six-cylinder engine production ends in 2010.

Ford’s announcement comes amid last week’s Government report into the Australian car manufacturing industry, which called for a reduction in import tariffs from 10 per cent to 5 per cent by 2010, as well as a move towards more environmentally friendly cars.

The report also suggested the federal government should bring forward its $500 million green car fund to start in 2009.

The good news however, is that Ford will hire at least an additional 300 staff when the company starts local production of the Ford Focus in 2011. Production is expected to increase by roughly 40,000/pa from 2011.

Share this article:
  • Facebook
  • Twitter
  • MySpace
  • del.icio.us
  • Google Bookmarks
  • Digg



Related Articles:

Ford Australia cutting even more jobs
Ford Australia has confirmed it will significantly slash even more jobs at its Victorian plants in the wake of poor

Ford UK to cut 850 jobs
Ford is cutting 850 jobs in the UK and delaying the launch of its new Transit in an attempt to

Nissan cuts 50 jobs from Victorian casting plant
Nissan Australia has retrenched 50 workers at its aluminium casting plant in Dandenong South, Victoria, as orders for its engines

Australian car industry in ‘good’ position
Despite the bleak outlook globally for vehicle production this year, the Australian Manufacturing Workers' Union (AMWU) believes manufacturers here are

Ford Australia President shock resignation
Ford Australia President Bill Osborne has announced his shock resignation, less than eight months after taking on the top job.   This

Comments

130 Responses to “Ford cuts 350 jobs”
  1. Carl says:

    Bill Osbourne…….This is the first good decision you’ve made since you came to Ford Australia!!!!!!

  2. laurie says:

    So why was the Mondeo not built here especially given its internal/external size almost equal to the Falcon and a bonus 2L Turbo Diesel engine thrown in !

    laurie

  3. Reckless1 says:

    When a Captain deserts a sinking ship, shouldn’t he be executed?

  4. Carl says:

    Ford needed an intelligent, ballsy bloke with some vision….in other words a hero instead it got this ZERO!

  5. Dlr1 says:

    Laurie, it would have to be self interest wouldn’t it. I couldn’t see Ford USA agreeing to fund the development costs for the next Falcon if we were already building one the same size (the mondeo). It would be bye bye to all the engineering and design staff that Ford Australia currently employ.

  6. Bollinger says:

    Spot on comments abt Ford dealers and their appalling product knowledge and the lack of customer service (well the ones I’ve tried anyway, and if there are courteous professional dealers here, apologies!). Twice in the past 8yrs made a new car purchase, 1st a hatch now a (groan) family wagon…in both cases knew within 10s Ford wasn’t getting the sale when the good rep eyes my missus and says ‘now love can I talk to your husband’ and pats her hand

  7. Escort_Ghia says:

    Aw stop trying to make yourself feel awsome just becouase you can affored a high end accord becouse i paid $1200 for my ford escort and it looks nicer, handels better, sounds better, gose harder and get better fule econamy than you honda and it only gose up invalue something you new honda will never do.

  8. Reckless1 says:

    It’s not only Ford dealerships who have d**khead salespeople; they are at every dealer regardless of brand.

    The bad ones move around the industry from one dealer to another until they have to move interstate and start the process again :)

    But it’s a shame for Ford that it got this dodo of a manager, a bloke who didn’t even know where Australia was when they gave him the job. Came over and opened his mouth about the local industry, revealing his lack of any knowledge or interest in this posting.

    He must have started looking for another job before he even moved here…….Pity Sol didn’t desert as quickly.

  9. Escort_Ghia says:

    i think this new guy is better than the last i mean at least he want to make the falcon go over seas

  10. aw says:

    Escort_Ghia: I am guessing you failed english at school?

  11. Escort_Ghia says:

    aw wrong im dislecsic an even i no what a cool car is whats you excuse

  12. aw says:

    I know what a cool car is. I haven’t bought the Accord to please anyone here. It was my choice and my family’s choice. Don’t worry, I know what a cool car is, and even the Escorts are a cool car.

  13. Escort_Ghia says:

    ok then.

    i hope you know that the honda will probebly cost you when i coms to servise and repairs and i would not drive around hilly arias in it they tend to chew the fule where ford 6’s dont.
    and as far as quality gose after my sister exeriance i would never buy a honda or take one for that matter especialy Civics horrabel car that was.
    i only drive car that were built in australia

  14. aw says:

    When were escorts made in australia?

  15. Escort_Ghia says:

    mine was esembeld at the gellong plant in 1979 all mk 2 escorts were assembeld in australia i think they were the last small ford to be assembeled

  16. Realcars says:

    Perhaps dealers and salespeople have become complacent given the year in year out record new car sales. A recession will no doubt sort the men from the boys and women from the girls of course.

    A good salesperson needs good product knowledge to promote what they are trying to sell. Also to need to have good knowledge of what the competition has on offer.

    I wouldn’t mind a go at selling cars although it is more about youthful good looks and image no doubt.LOL

  17. aw says:

    Oh Ok. I didn’t realise they were actually assembled here. I thought it was just the Falcons and the festivas/lasers (about 10 years ago) made here.

  18. Escort_Ghia says:

    nope the lasers replaced them and they were just rebadged mazas the only australian buils car i will never own not after my old laser i still have nightmears it was fun thrashing it before it got stolen it was the only car that im glad got stolen

  19. Andrew M says:

    realcars,
    i think you hit the nail on the head there in that the year on year new car sales has seen dealers become complacent.
    yep, they do need a recession to sort the men from the boys.
    the same can be said for the construction industry. the massive boom has seen any old person getting in there and making a buck for a dodgy effort.
    perhaps a building slump would see them spun aside

  20. Realcars says:

    My best mate had a 1.6 litre escort ghia back in the good old days. Good car. Was orange with a chocolate vynl top. Nicked named it the Jaffa.LOL.

  21. Andrew M says:

    can any one tell me what the “X” means in fords number plates???
    all ford registered vehicles start with “XFG”. FG obviously being for the model name, but whats the “X” stand for

  22. Realcars says:

    A restored rs2000 in red would be nice. But it’s gotta be red.LOL.

  23. aw says:

    Andrew M: My belief is that the X is the way the number plates work. For example, NSW White plates are A.. … B.. … etc. The VE 2 years ago was U.. … so that is my guess.

    Escort_Ghia: Interesting way to put how you felt about the car. But like my feelings with my current Holden. I love the old Escorts, made good rally cars, and they sounded great. Hope you enjoy yours.

  24. ZANDIT says:

    Hey everyone, ex-ford salesperson here and no offence taken!!
    Two years ago ford held an internal, nationwide competition for their new car salespeople called f2k(ford falcon knockout) judged on product and competition knowledge. Myself and our other newcar salesman made it to the regional final(VIC/TAS) with both of us and one other salesman from another tassie dealer being the last three. My team member went on to win and came second in the national final,which was held at the ford display at the syd motorshow. Hopefully this tells you there are some good sales people out there, something I took alot of pride in!!
    Ford are redoing their ads as we speak because they have actually listened to the backlash from fans and owners over their current ads, however they are flogging the ads they already have because they have already paid for them!!

  25. ZANDIT says:

    Sorry, don’t normally waffle on so much!! Really feel for the employees at the plants, Hopefully you are all given first option of jobs when the focus starts getting built.

    Good luck!!!

  26. Realcars says:

    Zandit appreciate the insight.

  27. Andrew M says:

    Zandit,
    well its goo to hear there are still some that care about their job.
    whether it be selling cars, or selling hot bread, i just cant stand people that show zero interest in their jobs.

    its good to hear they are re-doing their adverts.
    to be honest it doesnt really bother me because i do my own research and i am not swayed by the advertising,
    but what kills me is to see what is the best ever aussie made product totally undersold whilst others are able to sell their merely average offerings to the public.

    i mean, why dont ford try sticking the boot into other manufacturers in their adverts for once, in the same way other manufacturers dont mind sticking their boot into others.

  28. MR.TRUTH says:

    This is what happens when manufacturers dont listen to the market.

    “The market has spoken”

    M.T

  29. Wheelnut says:

    I Doubt it AW – because you look at photographs of the Holden and HSV VEs when they were released and youll see they had number plates such as VE-SS; VE-UTE; GTS-MRC; VESSV8 VE-MALU VE-CLUB VE-R8 etc
    So [I think Andrew M is asking] why didn’t Ford go for custom plates like Holden do instead of standard issue..?

  30. Escort_Ghia says:

    yeah i enjoy my escort it metelic brown cream vinal roof 2.0L worker head extractors but its auto

  31. Ford need a guy who has balls to stick it to stubborn USA and change the design look and ultimately model range to fresh hot look. Instead Ford are badly ran and obsessed about big power, turbo this and turbo that…would of been better to drop diesels in cars and 4WD’s and bring lineup up to speed for looks and inclusions. Instead they cave in to useless advertising and hollow shallow management here running it! Hang your heads in shame for not having ticker to demand change and updated models!

  32. Wheelnut says:

    Could it be that there are actually less people required to put the FG together then there were with the BF.

    I mean when Holden changedover from VZ to VE they sacked close to 600 workers because with the new robots on the assembly line [which took up over half of the $1b budget] they didn’t need as many people.. and yet the VE is still selling well

    Admittedly things at Ford oz may be different if Mr Mullaly and Mr Ford Jr Snr Jr pulled their heads out of eachothers a-ses and allowed Ford Oz to export the FG to the USA just as GM have allowed Holden to do with th VE.

    As cars and the robots that build them become more advanced car companies will need less and less workers

  33. FORD AUSTRALIA = Humphrey off ‘YES MINISTER’. Look busy, heaps to do and busy doing it……….but reality is nothing much doing and nothing changes!

  34. NUTTER…..its not a case of hanging out to export Falcon, but rather the regimental belief that Ford Aus have constraints put on it for design and how they make cars! Wake up and smell the roses as Ford models here are average and lagging behind others!

    Bring on Kuga, Verve, Iosis, etc and were are Ford with that……sitting at table chewing over it!

  35. and chewing it over, and over, and over, OH and over and over again…….etc! And Basketball Hoopla man marches in and does SFA! SHAME FORD SHAME

  36. Escort_Ghia says:

    NM last time ford came up with an out there look no one like it ford Aus’s biggest problem is no matter wat they do no one is happy,
    but is’s ok for holden to slap heaps of cars togeather as long as its got a holden badge.
    as for the diesels there coming soon.

    but we still need the turbos and 8 I for one could cear less about fule prices and would like to go fast once and awile
    and there not absessed about big power consitering there big powerful engines are one of the most fule effeciant 6’s on the maker

  37. aw says:

    Wheelnut. I noticed that a few of the ones tested by Wheels were UAM, as well as personalised VE plates.

    Escort-Ghia: Auto isn’t really a problem unless it struggles. Sounds like it is a decent bit of kit.

  38. aw says:

    Wheelnut. If you look at some of the wheels VE’s they tested, not all, but some had UAM plates, as well as having the VE personalised plates.

    Escort_Ghia: Auto isn’t really a problem unless it struggles, but it sounds like you have a decent bit of kit with the escort!

    Cheers,

    Aw

  39. 1. Kuga….hot
    2. KA….hot
    3. Verve 3dr and 5dr….hot
    4. Capri….hot
    5. Fiesta 3dr and 5dr….hot
    6. Falcon….hot
    7. Focus 3dr and 5dr….hot
    8. New svelte front on Territory….hot

    Obviously FORD chewing it over at table…..just as they “never” read the Mondeo in diesel would be sucessful and were way way way too slow to release! The early bird gets the worm and Ford failed…..again!

  40. FORD here is ran by amateurs…….still at table chewing over how to bring these cars here. With so much platform sharing, and keener and leaner production lines means Ford should be able to bring these cars and others here on an unreal price. Instead Ford is greedy and slow and iffy to do…..in meantime people buy others like Toyota’s! FORD……..SHAME SHAME SHAME! Goodbye Basketball Bummer – go back to USA!

  41. Escort_Ghia says:

    ford’s biggest problem is that people are stuped and think evey holden is australian and evey ford but the falcon comes from america and everyone knows amecican car are crap

  42. Yes USA cars are crap…..and I have said truly ages ago that Ford USA cars are absolute massive shyte. They would have to pay me to have one of there fugly cars……and what does Dearborn do? Answer: FORCE THEIR BELIEF ON DESIGN ONTO REST OF FORD FAMILY THAT IMPACT OUTSIDE USA = shame shame shame!

  43. Escort_Ghia says:

    anti spam word smart

    which is something ford usa aint the falcon would be the best car they sold if it went to the usa but ford usa are to stupid to see a good product

  44. Wheelnut says:

    I know – but the cars with standard plates were prototypes; pre production test mules etc and had to be road registered as they travelled on public roads interstate etc.
    Whereas cars with the VE “Custom Plates” were actual production cars that had rolled off the production line and were used as media vehicles for official functions tests and photo shoots etc

    So the question remains why didn’t ford release Promotional photos of the FG with similar plates

  45. Realcars says:

    Andrew M they say in some quarters that criticising the opposition is a bad look but I tend to agree with u.

  46. Realcars says:

    Couple of nice Escorts for sale on Uniquecars out of interest.

  47. ZANDIT says:

    Word is..(will probably get in trouble for this!!)that new fiesta and face lifted focus(to match new shape XR5) here within 6-8 months not 2010 as previously stated, initially imported from europe and sth africa until asian factory up and running for the fiesta and australian plant operating for the focus.

  48. Yep ESCORT_GHIA agree fully. And even release it with smallish turbo diesel and more LPG variants (update the LPG too and bring on manuals in them and stability control).

  49. FORD MANAGEMENT = zzz zzz zzz zzz zzz.

    Big cars are on the slide and if Ford took its Falcon to USA and other areas, then it should be with smaller turbo diesels with big performance and LPG.

  50. FORD MANAGEMENT SHOULD BE SHARES IN MATTRESS COMPANIES AS WOULD HAVE MORE BUSINESS ACUMEN……..zzz zzz zzz zzz zzz

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!

*
To prove you're a person (not a spam script), type the security word shown in the picture. Click on the picture to hear an audio file of the word.
Click to hear an audio file of the anti-spam word