Ford, a car manufacturer based in the United States, plans to lay off 3,200 workers in Europe in order to cut costs and shift its focus to electric vehicles.
According to the Guardian UK, the majority of the 2,500 jobs in product development and up to 700 in administrative roles that the automaker hopes to eliminate are in Germany.
Other layoffs may occur at sites in Belgium and the United Kingdom, according to IG Metall, the dominant metal workers’ union, which represents 2.2 million members in the metal, electrical, iron, steel, and automotive industries.
According to the report, employees at the Cologne site, which employs approximately 14,000 people, were informed of the plans on Monday.
“If negotiations between the works council and management in the coming weeks do not secure the future of workers,” IG Metall said.
“We will not back down from measures that could have a significant impact on the company, not just in Germany, but throughout Europe.”
For years, the US automaker has been laying off workers in Europe in order to shift its focus to electrified vehicles.
Jim Farley, the company’s CEO, stated in November of last year that it takes “40% less labor to make an electric car” than a traditional gasoline model.
Ford employs approximately 7,000 people in the UK, with a diesel engine plant in Dagenham, east London, and a gearbox plant in Halewood, Merseyside.
The engine plant in Bridgend, Wales, will close in September 2020, resulting in the loss of 1,700 jobs.
“We have no comment on the current speculation about a possible restructuring at Ford in Europe,” Ford said in a statement. Ford is still committed and is currently accelerating its plans to build an all-electric vehicle portfolio in Europe.