Ford said Tuesday that it will cut 3,800 jobs in Europe over the next three years in an effort to streamline its operations as it contends with economic headwinds and increasing competition on electric cars.
The automaker said that 2,300 jobs will go in Germany, 1,300 in the U.K. and 200 elsewhere on the continent. It said that its strategy to offer an all-electric fleet in Europe by 2035 is unchanged and that production of its first European-built electric car is due to start later this year.
The company said it is looking for “a leaner, more competitive cost structure for Ford in Europe.” It said that it will embark on consultations “with the intent to achieve the reductions through voluntary separation programs.”
Ford aims to cut 2,800 of the jobs in engineering by 2025, a result of the transition to electric cars that are less complex, though it plans to keep around 3,400 engineering jobs in Europe.
The remaining 1,000 jobs will be cut on the administrative side.
“These are difficult decisions, not taken lightly,” Martin Sander, the general manager of Ford Model e in Europe, said in a statement. “We recognize the uncertainty it creates for our team, and I assure them we will be offering them our full support in the months ahead.”
Ford has some 34,000 employees at wholly owned facilities and consolidated joint ventures in Europe.