Ford Motor Company is cutting 470 jobs at its main factories in South Africa to cut costs and fix production lines. The layoffs hit the Silverton Assembly Plant in Pretoria and the Struandale Engine Plant in Gqeberha. Notices went out to unions this week as the company faces tough competition from imported cars and a shift toward more automated factories.
Key Facts
- Silverton Impact: 391 operator jobs are being cut at the Pretoria assembly site.
- Struandale Impact: 73 positions are being removed at the engine plant in Gqeberha.
- Admin Cuts: 10 office support roles are also included in the reduction.
- Source: Ford Authority, Metalworking News
Unions Call It a Warning
Labor groups are pushing back against the decision. The Solidarity union confirmed it received the formal notice, which lists the specific breakdown of job losses. Willie Venter, a leader at the union, called the move a “drastic step” and warned it could signal more trouble for the country’s car makers. He said that without help from the government, more companies might shed workers to stay afloat.
Imports and Automation
Ford says it needs to change how it builds cars to match what customers want right now. A big part of the problem is a surge in cheaper cars coming into South Africa from China and India. Reports show imports rose by nearly 33% early this year, while local car sales dropped. At the same time, the company is updating its plants. These updates often bring in new machines that do the work of humans, reducing the need for manual labor.
Production Changes
The company plans to use voluntary separation packages to lower the headcount. This means they will ask workers to leave in exchange for a payout before forcing anyone out. The Silverton plant recently received a large investment to build the new Ranger Plug-in Hybrid, but these high-tech upgrades often require fewer workers than older assembly lines. Ford insists it is committed to South Africa, but it must make these cuts to keep the business running smoothly.
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Bill covers the latest developments in Ai-driven workforce changes and corporate restructuring for Ai-Layoffs.com.
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