FORD is to cut around 10 per cent of its global workforce, leaving thousands of people out of a job, according to reports.
The American car maker hopes the staff reductions will help boost profits and cut costs by $3billion (£2.3billion).
According to the Wall Street Journal, Ford boss Mark Fields laid out the plans which he hopes will halt the firm’s sliding stock price, which has suffered during his time as CEO of the company.
According to WSJ, the auto maker’s stock price has fallen nearly 40 per cent since Fields became CEO in 2014.
This is despite the fact that the auto industry has broadly grown for the past seven years.
The publication said that the job cuts largely target salaried employees, although it is unclear if the plan includes reductions in the hourly workforce at Ford’s factories.
Ford has 200,000 employees globally, and around 13,000 of those work in the UK – either paid an hourly wage or on a salary.
A spokesperson for Ford neither confirmed nor denied the reports, telling the Sun Online that it has not announced any new people efficiency actions.
They said: “We remain focused on the three strategic priorities that will create value and drive profitable growth, which include fortifying the profit pillars in our core business, transforming traditionally underperforming areas of our core business and investing aggressively, but prudently, in emerging opportunities.
“Reducing costs and becoming as lean and efficient as possible also remain part of that work.
“We have not announced any new people efficiency actions, nor do we comment on speculation.”
Last month, Ford launched its new savings brand called Ford Money, which claims to offer “excellent” customer service and straightforward products.
Ford Money is part of Ford’s financial services arm, Ford Credit Europe, which received a UK banking licence in 1997.