Ford to lay off 12,000 workers in Europe

The company aims to slash costs and bring its European operations back to profitability.

Ford has announced plans to restructure its European operations, eliminating 12,000 jobs and closing several factories.

Aiming to reduce costs and improve profitability, the company will close three factories in Russia, one in South Wales, and another in France, while a transmission plant in Slovakia will be sold to Magna.

Ford of Europe's manufacturing footprint will consequently shrink from 24 facilities at the beginning of 2019 to 18 facilities by the end of 2020. The company will also close its Ford of Britain and Ford Credit Europe headquarters, consolidating its offices in Dunton.

"Ford will be a more targeted business in Europe, consistent with the company's global redesign, generating higher returns through our focus on customer needs and a lean structure," said Ford of Europe president Stuart Rowley. "Implementing our new strategy quickly enables us to invest and grow our leading commercial vehicle business and provide customers with more electrified vehicles, SUVs, exciting performance derivatives and iconic imported models."

The Blue Oval expects its financial performance in Europe to significantly improve for the full-year 2019.