Ford has informed labor unions of its plan to cut over 470 jobs at two South African plants, including the Silverton assembly plant in Pretoria and the Struandale engine plant in Gqeberha. The affected plants have approximately 5,300 workers. The layoffs are part of Ford's restructuring efforts in the region.
Ford Motor Company has announced plans to lay off more than 470 employees at two South African plants, according to a statement from the South African Solidarity union. The affected plants include the Silverton car assembly plant in Pretoria and the Struandale engine plant in Gqeberha, which together employ approximately 5,300 workers [1].
The layoffs are part of Ford's restructuring efforts to adjust production capacity to meet current and future market demands. The Silverton plant, located in Pretoria, will see 391 operator positions cut, while the Struandale engine plant in Gqeberha will lose 73 jobs. Additionally, 10 administrative roles will be eliminated [1].
Ford has confirmed the layoffs, stating that these changes are part of their ongoing efforts to optimize production and respond to evolving market conditions. The company has cited economic pressures, international political uncertainties, and the government's unfavorable policies as factors contributing to the industry's competitiveness [1].
Willie Venter, deputy general secretary of Solidarity, expressed concern about the potential for further job losses if conditions do not improve quickly. He stated, "When an automotive giant like Ford takes such drastic steps, it is a warning to the entire industry. We fear that further retrenchments in this industry may be inevitable if conditions do not improve quickly" [1].
South Africa's automotive industry employs 115,000 people directly, with over 80,000 in component manufacturing alone. Low domestic sales of locally made cars, an influx of imports, and low levels of local content have led to 12 company closures and over 4,000 job losses in the South African motor and parts industry over the past two years [1].
The layoffs come as Ford and other major car manufacturers in South Africa, including Toyota, have sent policy recommendations to the trade minister to support and protect the local industry [1].
References:
[1] https://ca.finance.yahoo.com/news/ford-south-africa-lay-off-164012624.html
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