Ford said it will cut a total of 3,000 salaried and contract jobs, mostly in North America and India, as it restructures to catch up with Tesla in the race to develop software-driven electric vehicles $F
Ford Chief Executive Jim Farley has been saying for months that he believed the Dearborn, Mich. automaker had too many people, and that not enough of its workforce had the skills required as the auto industry shifts to electric vehicles and digital services.
Like other established automakers, Ford has a workforce largely hired to support a traditional combustion technology product lineup. Going forward, Farley has mapped out a strategy for Ford to develop a broad lineup of electric vehicles. Like Tesla, Ford wants to generate more revenue through services that depend on digital software and connectivity.
The wheel of a 2018 Ford Focus is displayed at the launch for the new model in London, Britain, April 10, 2018. REUTERS/Hannah McKay Rising prices for batteries, raw materials and shipping are putting additional pressure on Ford and other automakers. Still, Ford has stuck to its full-year profit forecast, despite $3 billion in higher costs due to inflation.
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