The Globe and Mail reports in its Wednesday edition that unnamed sources say General Motors' rival Ford Motor plans to trim
about 10 per cent of its global employees while retaining
the tech talent it has recruited
to develop driverless and
electric cars.
A Bloomberg dispatch to The Globe reports that jobs are being cut as Ford's
directors pressure chief executive
officer Mark Fields to boost
profit and a lagging stock price.
Sources say the reductions are expected to
target salaried employees mostly
in North America and Asia.
Some are also expected
in Europe, where Ford
already has retrenched.
Mr. Fields is working to cut
costs by about $3-billion (U.S.)
this year. With Ford's stock
down about 37 per cent since
he became CEO in 2014, Mr.
Fields is caught between pleasing
a board pressuring him to
boost fading profits and placating
President Donald
Trump, who is pushing automakers to add U.S. jobs. Ford
also is pouring billions into
electric, self-driving cars and
ride-sharing as its struggles
more than GM
with a slowing U.S. market.
Auto consultant Maryann Keller says, "This has to be done surgically
rather than randomly or otherwise
you lose the talent you
need the most."
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