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Firm Misreports The Quantity Of Ford Jobs To Be Cut As 20,000

Chicago-based outplacement firm Challenger, Gray & Christmas was forced to issue a correction last week after misreporting the number of salaried jobs Ford Motor Company is planning to cut worldwide.

The company claimed that Ford would lay off some 20,000 people as part of its latest effort to cut costs and bolster profitability when, in fact, only 1,400 or so employees will be cut.

The number was informed by numerous reports that came before Ford officially announced the job cuts – reports which suggested that the automaker would lay off 10% of its global workforce. But Ford only “plans to reduce 10 percent of [its] salaried costs and personnel levels in North America and Asia Pacific this year, using voluntary packages,” a company spokesperson told CNBC. That amounts to around 1,400 employees, from Ford’s communications, corporate staffing, finance, government affairs, marketing, purchasing, and sales departments.

Employees in information technology, data and analytics, manufacturing, product development, and Ford Motor Credit Company will not be affected.

In the report published by Challenger, Gray & Christmas last Thursday CEO John A. Challenger said that “Ford’s announcement of 20,000 global layoffs to streamline and cut costs is a typical strategy of large corporations who need to pivot to stay competitive.” The firm issued a correction the following day.

(Source: CNBC)

Aaron Brzozowski is a writer and motoring enthusiast from Detroit with an affinity for '80s German steel. He is not active on the Twitter these days, but you may send him a courier pigeon.

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