Wednesday 1st October 2003

3,000 jobs to go at Ford

Belgian plant to take big hit

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Ford of Europe has today announced that it will concentrate production of the next generation Ford Focus in two plants rather than three. This plan will result in cancelling investment in new Focus tooling and facilities at Genk, Belgium.

Ford also intends to build the current Mondeo at Genk on a 2-shift, rather than 3-shift pattern beginning in January of 2004. Taken together, the proposed changes would result in the loss of 3,000 jobs at Genk.

"The automotive market in Europe has deteriorated dramatically since only a year ago, " said Lewis Booth, President and COO, Ford of Europe. "With lower industry outlooks, a larger number of competitors, and escalating marketing costs, we must concentrate on maximising our product line-up while minimising our spending ."

Ford also claim that efficiency gains have improved productivity at Ford plants by up to 15 percent, enabling more available capacity with less investment.

Genk will continue to produce the current Mondeo and to serve as a stamping facility for the family of Ford Motor Company brands in Europe. Genk also remains the preferred location for production of the next generation Mondeo, subject to final review and approval of Mondeo investment plans.

[wedg1e]

Given that the Transit Connect (amongst others) is built in Turkey, how long before the rest of production is switched to a Euro-nether-region where the staff can be paid a pound a week? Bet the prices won't come down though...

[joust]

No - because Ford is loosing money......