Ford Blue to axe 8,000 salary jobs

jpd80 · 21-07-2022, 02:20 PM

Sounds like lots of ICE engineers are going to be tossed out of their jobs……

Quote:

https://www.caranddriver.com/news/a4...%20development.

Ford to Fund Its EV Efforts in Part by Laying Off 8000 Workers

The cuts seem to be part of a plan, announced earlier in the year by Ford CEO Jim Farley, to cut $3 billion in operational costs from business operations related to internal-combustion products.

BY SASHA RICHIE

An anonymous source told Bloomberg on Wednesday that Ford is planning to cut as many as 8000 jobs from its Ford Blue division.
Ford Blue produces the company's ICE vehicles, and Ford is looking to cut $3 billion in operational costs from its gas-powered business to invest more money into EV development.
Bloomberg reports that the plan is not yet finalized, and a Ford spokesperson told Car and Driver that the company declines comment.
Up to 8000 Ford employees could be hit by job cuts, according to a Wednesday report from Bloomberg. The move could be part of a plan to cut $3 billion in operational costs from the company's gasoline-powered business operations in order to boost profit and invest more into Ford's electric-vehicle endeavors.

The cuts will reportedly come in the Ford Blue division, which handles production of Ford's internal-combustion-engine vehicles, and primarily come from salaried positions. There are approximately 31,000 salaried workers at Ford currently.

Ford CEO Jim Farley announced in March a radical restructuring of Ford called the Ford+ plan, creating the Ford Blue division and the Model e division, which handles electric vehicles. As part of the plan, he also boosted spending on EVs to $50 billion, which he said in an interview with Bloomberg Television was "based on our core automotive operations."

Farley also added that "We need [Ford Blue] to be more profitable to fund this."

Previously, in February at a Wolfe Research conference appearance in reference to Ford's ICE operations, Farley said, "We have too many people, we have too much investment, we have too much complexity, and we don't have expertise in transitioning our assets."

Sounds like the beginning of the end where good men get kicked to the kerb just as their careers are nearing the finish.

Bossxr8 · 21-07-2022, 03:22 PM

Putting all the eggs in one basket, hoping it will pay off. It's going to get interesting, because at the end of the day, it's the general public who buy the cars that will determine whether EV's eventually take over. You can't force people to buy something they don't want.

au2000 · 21-07-2022, 03:48 PM

Quote:

Originally Posted by Bossxr8

Putting all the eggs in one basket, hoping it will pay off. It's going to get interesting, because at the end of the day, it's the general public who buy the cars that will determine whether EV's eventually take over. You can't force people to buy something they don't want.

not necessarily true ...

https://fordforums.com.au/showthread.php?t=11494944

like it or not .. they are coming.. I have no issues with electric vehicles, i just wont get one until i have no choice & by then one to suit my needs should hopefully be more affordable.

Bossxr8 · 22-07-2022, 11:36 AM

Quote:

Originally Posted by au2000

not necessarily true ...

https://fordforums.com.au/showthread.php?t=11494944

like it or not .. they are coming.. I have no issues with electric vehicles, i just wont get one until i have no choice & by then one to suit my needs should hopefully be more affordable.

Yes some places will ban ICE. But globally, it might only be half the countries that do. So then what do you do if EV take up in all those countries is low and you don't make ICE vehicles anymore? It's going to be an interesting transition that's going to cause a lot of problems for companies that push forward the transition well before the market is ready.

Wretched · 22-07-2022, 01:25 PM

I assume a lot of engineers have already retrained and moved into the EV area.

I have to applaud Ford on this move, very ballsy. While ICE cars are effectively on the way out, when, is the question. Ford are finally drawing the line in the sand and putting their money where their mouth is. They know the decision has to be made and they're doing it. Knowing upcoming emissions standards and restrictions they've likely weighed up the pros and cons and when product development takes years and not months, decided that it isn't financially viable to continue ICE development.

Wonder which manufacturer is next?

**kypez** · 22-07-2022, 01:42 PM

Sad for the losses but great to see this direction from Ford. I can't wait till all the big brands are putting their efforts into developing better batteries rather than a Startup in Tesla. This can't happen soon enough.

Good riddance to the slow POS diesels that have plagued our country.

b0son · 22-07-2022, 02:15 PM

Quote:

Originally Posted by Bossxr8

Yes some places will ban ICE. But globally, it might only be half the countries that do. So then what do you do if EV take up in all those countries is low and you don't make ICE vehicles anymore? It's going to be an interesting transition that's going to cause a lot of problems for companies that push forward the transition well before the market is ready.

Synthetic fuels, they effectively become a renewable and there is no net CO2 put into the atmosphere. The ICE cars eventually get driven into the ground and replaced by EVs.

Franco Cozzo · 22-07-2022, 02:30 PM

Quote:

Originally Posted by kypez

Sad for the losses but great to see this direction from Ford. I can't wait till all the big brands are putting their efforts into developing better batteries rather than a Startup in Tesla. This can't happen soon enough.

Good riddance to the slow POS diesels that have plagued our country.

Amen,

I say that as the owner of a diesel car

Remember when they were promoted as a 'green option'/'clean diesel' circa 10-15 years ago - nekminnit particulate matter and NOX in exchange for less CO2.

There's been no real drive in regards to the Thailand Specials to make a hybrid one of these, diesel hybrid or unleaded one.

Maybe with what NZ has done there may be an investigation into that route now, there's going to be a transition period rather than a line in the sand IMO.

**kypez** · 22-07-2022, 02:47 PM

Quote:

Originally Posted by Franco Cozzo

Amen,

I say that as the owner of a diesel car

Remember when they were promoted as a 'green option'/'clean diesel' circa 10-15 years ago - nekminnit particulate matter and NOX in exchange for less CO2.

There's been no real drive in regards to the Thailand Specials to make a hybrid one of these, diesel hybrid or unleaded one.

Maybe with what NZ has done there may be an investigation into that route now, there's going to be a transition period rather than a line in the sand IMO.

Yes, and Diesel was considerably cheaper than Petrol back then too. Everyone jumped on the bandwagon and now, diesel is more than petrol (which should correct a little with the excise reintroduction, but it still is dearer as a percentage compared to 15 years ago).

Bossxr8 · 22-07-2022, 03:04 PM

Quote:

Originally Posted by Wretched

I assume a lot of engineers have already retrained and moved into the EV area.

I doubt it. I'm assuming that most EV development is done by electrical engineers rather than ones who have done most of their work on combustion engines.

Although i'm sure some have.

FoA PD has very little in the way of powertrain development now, it was sent overseas about 3 or 4 years ago. It's mostly done in Europe and Dearborn, so I don't see it really effecting anyone here.

roKWiz · 22-07-2022, 03:54 PM

Quote:

Originally Posted by kypez

Good riddance to the slow POS diesels that have plagued our country.

You mean the diesel that carries this country.

GCRXR6 · 22-07-2022, 04:35 PM

Quote:

Originally Posted by Wretched

I assume a lot of engineers have already retrained and moved into the EV area.

I have to applaud Ford on this move, very ballsy. While ICE cars are effectively on the way out, when, is the question. Ford are finally drawing the line in the sand and putting their money where their mouth is. They know the decision has to be made and they're doing it. Knowing upcoming emissions standards and restrictions they've likely weighed up the pros and cons and when product development takes years and not months, decided that it isn't financially viable to continue ICE development.

Wonder which manufacturer is next?

The ICE has come from a smoke blowing, single cylinder rattler, to the beast we know today, despite those who said the horse and cart was more efficient. EV are not new, having had a few incarnations over the years, but will surely spell the demise of ICE. This will accelerate, once battery or supply technology becomes efficient. Not if, but when. Perhaps sooner than we wish to believe. When Henry wanted to make cars cheap enough for everyone, he was called a fool, but knew it could be done. Does Ford today, know something we don't?

Franco Cozzo · 22-07-2022, 07:48 PM

Quote:

Originally Posted by roKWiz

You mean the diesel that carries this country.

Keep it for commercial vehicles, shouldn't be in passenger stuff IMO, especially in this day and age when there's so many better options with unleaded forced induction stuff.

kevino · 22-07-2022, 08:06 PM

Says someone with a diesel Focus!!!

Franco Cozzo · 22-07-2022, 08:12 PM

Quote:

Originally Posted by kevino

Says someone with a diesel Focus!!!

Exactly, I'm the best person to be making this call

**GasoLane** · 22-07-2022, 08:12 PM

Quote:

Originally Posted by kevino

Says someone with a diesel Focus!!!

I think he pointed that out in post 8

Edit.....Beaten by Franco.

kevino · 22-07-2022, 08:30 PM

That Nz tax incentive/ disincentive is interesting. Diesel dc cab ute sales have reduced since it came in.
And as a plus micro cars as in the Suzuki Swift category having a tax credit as a low polluter are cheaper than their equivalents in Australia.

kevino · 22-07-2022, 08:39 PM

In fact Swift gl 1.2 manual
$2i990 and drive away after a $2593 tax credit.
Same car in Aus is $25 or $26k drive away.
See they also have a Swift Hybrid at 27 k drive away with fuel efficiency some 15 per cent better than the gl. Pointless really 5 k extra capital cost for 15 per cent fuel gain years to make up that 5 k.

simon varley · 22-07-2022, 08:58 PM

thing is, it might be great for Europe and North America to go electric, and we'll probably follow soon, but 180 other markets for the Ranger will never get there. We are going got have to keep developing ICE for ever, whatever Farley thinks. I'm already struggling to get development work done in Europe and North America, and of course we already sacked all of our local powertrain engineers a couple of years ago. Massive premature decision there if it actually happens

Wretched · 22-07-2022, 09:58 PM

Quote:

Originally Posted by GCRXR6

The ICE has come from a smoke blowing, single cylinder rattler, to the beast we know today, despite those who said the horse and cart was more efficient. EV are not new, having had a few incarnations over the years, but will surely spell the demise of ICE. This will accelerate, once battery or supply technology becomes efficient. Not if, but when. Perhaps sooner than we wish to believe. When Henry wanted to make cars cheap enough for everyone, he was called a fool, but knew it could be done. Does Ford today, know something we don't?

Of course they would know more than us, it's their business to understand the approaching technologies and whether or not they can be adapted to the car industry. I believe Ford have a number of partnerships with various battery research organisations. This decision wouldn't have been made yesterday.

Sprintey · 22-07-2022, 10:03 PM

I'm glad they got that simple and perfect 7.3L V8 done before this.

jpd80 · 23-07-2022, 12:57 AM

Quote:

Originally Posted by simon varley

thing is, it might be great for Europe and North America to go electric, and we'll probably follow soon, but 180 other markets for the Ranger will never get there. We are going got have to keep developing ICE for ever, whatever Farley thinks. I'm already struggling to get development work done in Europe and North America, and of course we already sacked all of our local powertrain engineers a couple of years ago. Massive premature decision there if it actually happens

T6 gets handed back to America in 2028, that’s under six years, so all of this development work here in Australia is no more, they’re just not ready to say it yet. It’s now one of the expendable wings of Ford Blue, I’d just wish they permit electric work to be done before everything folds up.

smoo · 23-07-2022, 04:48 AM

Quote:

Originally Posted by kevino

That Nz tax incentive/ disincentive is interesting. Diesel dc cab ute sales have reduced since it came in.
And as a plus micro cars as in the Suzuki Swift category having a tax credit as a low polluter are cheaper than their equivalents in Australia.

They dived in April following the March cut off to register before the tax went on in April.
But Hilux was the top seller in May and second in June.
The market in June is down 20% ytd. Only around 10% of Junes sales were EVs or plug in hybrids.
Sales will fall further, and the days of asking $120k for a 79 Series, $160k for a 200 Series or $100k for an LS3 VF SS are numbered.

https://www.nzherald.co.nz/business/...2RBHD5GX4VHGA/

**Fordman1** · 23-07-2022, 07:26 AM

Quote:

Originally Posted by jpd80

T6 gets handed back to America in 2028, that’s under six years, so all of this development work here in Australia is no more, they’re just not ready to say it yet. It’s now one of the expendable wings of Ford Blue, I’d just wish they permit electric work to be done before everything folds up.

I doubt it.

roKWiz · 23-07-2022, 07:58 AM

I can see how this scenario will eventually play out in Oz and maybe the US.

The car markers through incentives and governments will conspire to hook consumers over from diesel (already happening and like they did against petrol previously) to everything petrol while developing EV technology to a point where most holdouts with petrol cars will be held hostage to the super high price of petrol which will constantly adjusted up in road use tax, etc.
Diesel will end up having the colour dye added (like Europe does) to it and will only be sold to transport, agriculture, marine or industrial.
Huge fines being caught using it outside the regulations. (like EU)
The rest and vast majority will be conditioned to convert over to electric or use of alternative public transport.

Sorry to hear these employee will loose their jobs.

**DJM83** · 23-07-2022, 08:23 AM

Quote:

Originally Posted by Franco Cozzo

Keep it for commercial vehicles, shouldn't be in passenger stuff IMO, especially in this day and age when there's so many better options with unleaded forced induction stuff.

We just purchased a new diesel Tuscan.
Sorry bout that

Could have went a turbo petrol, but it didnt impress.

roKWiz · 23-07-2022, 08:25 AM

Quote:

Originally Posted by DJM83

We just purchased a new diesel Tuscan.
Sorry bout that

Could have went a turbo petrol, but it didnt impress.

Banishment for you, you diesel polluter.

**DJR-351** · 23-07-2022, 08:40 AM

Quote:

Originally Posted by roKWiz

Banishment for you, you diesel polluter.

I pickup me new Landcruiser Dual Cab in 2 weeks and hand me 2016 to a nephew

roKWiz · 23-07-2022, 08:45 AM

Quote:

Originally Posted by DJR-351

I pickup me new Landcruiser Dual Cab in 2 weeks and hand me 2016 to a nephew

Shameful, and on a Ford forum.
Wonder if there is a leper diesel island somewhere.

jpd80 · 23-07-2022, 11:03 AM

Quote:

Originally Posted by Fordman1

I doubt it.

Sad if true as I believe that the T6 team would be the most innovative of the “areas of excellence”,
maybe that’s a redundant term term these days because so many divisions under achieve on excellence…

We now have the basis of the best ever Ranger, Bronco and Everest, the foresight that went into
this evolution is truly remarkable, it would be nice if motors and drives from Lightning found their way
into a very special BEV Ranger/Everest for ROW where such things are valued above diesel petrol hybrids