Ford Australia cuts 400 jobs, to outsource design to India
RICHMOND, AUSTRALIA — Automobile manufacturer Ford Australia announced plans to terminate about 400 jobs in its vehicle development and design departments, marking a 20% reduction in these divisions.
This decision comes on the heels of the dismissal of 170 employees earlier this year following the conclusion of the Ranger and Everest models’ development cycles.
The job cuts form part of a broader global strategy implemented by Ford to boost operational efficiency in response to evolving market demands. Most of the affected roles are expected to be outsourced to India.
Despite these reductions, Ford Australia will continue to act as the global hub for the design and development of the global-market Ranger pickup truck and Everest SUV.
In an official statement, Ford Australia stated, “We have begun consultation with our employees and unions on our intention to offer a separation program for approximately 400 to 1,800 of our employees in Australia…The changes are part of Ford’s global drive to improve efficiency and transform its operations to meet future needs.”
The firm also revealed that the bulk of the job cuts would affect product development and design, with a small number impacting other functions.
Despite the cutbacks, Ford continues to invest heavily in its Australian operations, with an AU$12 million expansion of its Melbourne design studio last year and an ongoing annual investment of AU$500 million.
