Ford to Cut Jobs in Europe

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By Trey Thoelcke Published
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Ford Motor Co. (NYSE: F) said Tuesday that it will cut several hundred jobs in the United Kingdom, Germany and elsewhere in Europe due to declining demand in the region. Ford warned that its European operations could suffer losses of $1 billion this year.

The Big Three auto maker also said it does not yet know the final number of workers in Europe that will be laid off. The company will offer voluntary buyouts for salaried staff and cut jobs for some outsourced services.

Stephen Odell, Ford’s European chief executive, said earlier this month that Europe offered tremendous growth potential in the long term. But Ford sales in the region fell almost 10% during the first half of 2012, to its lowest level in 17 years. The company also has been hit by an influx of cheaper imports from South Korea after Europe lowered its tariffs on Korean vehicles last year.

In addition to the staff cuts, Ford is studying plant closures and other cost-cutting measures. But closing factories in Germany is politically difficult. The carmaker is trying to persuade the unions and national politicians in Belgium, Germany, Spain and the U.K. to agree to structural changes.

Shares of Ford dropped 1.7% to $9.91 after the opening bell. The 52-week range is $8.82 to $13.05.

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About the Author Trey Thoelcke →

Trey has been an editor and author at 24/7 Wall St. for more than a decade, where he has published thousands of articles analyzing corporate earnings, dividend stocks, short interest, insider buying, private equity, and market trends. His comprehensive coverage spans the full spectrum of financial markets, from blue-chip stalwarts to emerging growth companies.

Beyond 24/7 Wall St., Trey has created and edited financial content for Benzinga and AOL's BloggingStocks, contributing additional hundreds of articles to the investment community. He previously oversaw the 24/7 Climate Insights site, managing editorial operations and content strategy, and currently oversees and creates content for My Investing News.

Trey's editorial expertise extends across multiple publishing environments. He served as production editor at Dearborn Financial Publishing and development editor at Kaplan, where he helped shape financial education materials. Earlier in his career, he worked as a writer-producer at SVE. His freelance editing portfolio includes work for prestigious clients such as Sage Publications, Rand McNally, the Institute for Supply Management, the American Library Association, Eggplant Literary Productions, and Spiegel.

Outside of financial journalism, Trey writes fiction and has been an active member of the writing community for years, overseeing a long-running critique group and moderating workshop sessions at regional conventions. He lives with his family in an old house in the Midwest.

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