Ford has confirmed it'll cut more than 5000 jobs in Germany and an as-yet undisclosed number in the United Kingdom, launching a voluntary redundancy program for employees.
"Through these programmes and other initiatives, Ford of Germany expects to reduce its headcount in excess of 5000 jobs, including temporary staff," the company said in a statement.
The cuts are part of the brand's plan to cut costs in Europe, where it currently employs more than 50,000 people. The move comes after it announced a US$11 billion restructuring, in search of an 8.0 per cent profit margin by 2020.
The goal for Europe is a slightly more conservative 6.0 per cent margin.
That plan will see the European business split into three distinct arms, focusing on passenger cars, commercial vehicles and imported vehicles.
"We have the right people, but in Europe we need to work on the business model," Ford CEO, Jim Hackett, said at the Detroit motor show earlier this year.
"We’ve identified three business groups to build for the future, and all three will be profitable."
Slow-selling products will be axed, with focus instead (no pun intended) swung to producing the strongest-selling European-made products.