Ford F-150 Light production cuts have been confirmed by the American automaker. These business adjustments would affect thousands of employees.
But the question is, will these Ford workers face terminations or just be transferred to other manufacturing operations?
Ford confirmed the production cuts for its F-150 Lightning EVs on Friday, Jan. 19. The car manufacturer said operations will be explicitly reduced at Rouge Electric Vehicle Center.
This facility is where Ford builds its popular EV pickup trucks. What's sadder about this business change is that the operation at the Rouge Electric Vehicle Center is being reduced to one starting on Apr. 1.
Ford F-150 Lightning Production Cuts
According to Fox Business' latest report, the Ford F-150 Light production cuts will affect around 1,400 workers at the Rouge Electric Vehicle Center.
Ford explained that the production cuts were needed so that they could match output with customer demand. This means that the demand for its Ford F-150 Lightning is getting slower.
"We are taking advantage of our manufacturing flexibility to offer customers choices while balancing our growth and profitability. Customers love the F-150 Lightning, America's best-selling EV pickup," said Ford CEO Jim Farley.
"We see a bright future for electric vehicles for specific consumers, especially with our upcoming digitally advanced EVs and access to Tesla's charging network beginning this quarter," added Farley via CNBC.
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Affected Ford Employees To Be Transferred
The giant American automaker announced that affected Ford employees will be transferred to another manufacturing plant. However, only around 700 workers, which is 50% of the affected workforce, will be given the chance.
Lucky Ford employees will be transitioned to the Michigan Assembly Plant, which handles the production of Ford Ranger and Bronco models.
Aside from transferring 700 existing employees, Ford said that it plans to create nearly 900 new jobs as part of the new third crew at the Michigan Assembly Plant.
The car manufacturer said that these new workers are needed to meet the demand for the popular Bronco and Bronco Raptor, as well as the all-new Ranger and Ranger Raptor pickup trucks.
"The company is moving nimbly across its global footprint to capitalize on its balanced lineup and serve customers with the right mix of gas-powered, hybrid, and electric vehicles while optimizing financial returns," explained Ford.
Once the employee transitions are complete, Ford said that the Michigan Assembly Plant will increase its vehicle production to seven days a week, with three teams working two shifts.