LOUISVILLE, Ky. (WAVE) - Ford announced Monday it’s cutting 10 percent of its salaried staff worldwide, about 7,000 jobs.
Those workers affected will start to be notified Tuesday. Company officials would not offer details on the direct impact to Louisville, but Local 862 President Todd Dunn said hopefully it’s not very much.
Dunn believes many of those salaried workers took early retirements or were some employees who are being re-positioned.
Dunn did say on Monday, “I’ve had a couple of calls and a couple of text messages.”
Dunn says that’s no surprise when cuts are coming, even when those cuts are salaried employees. He also said the majority in the U.S. are expected in Michigan. Dunn says Ford leaders were actually in Louisville Monday, thanking workers.
“For doing such a great job in Louisville,” Dunn said. “Because this is where it’s at, this is where the rubber meets the road for us. They assured us, the plan was put into place several months ago.”
The cost cutting measure will continue through the summer.
“We will have reduced management structure by close to 20% which will result in annual savings of about $600 million,” a Ford spokesperson told WAVE 3 News in part.
Dunn believes overall the company is making the right moves in continuing to come up with innovative ideas to keep the company thriving, amid changes in the industry, and working to keep more jobs in place overall.
In Louisville, Ford recently announced because the Navigator and Expeditions were selling so well, 550 employees from the Louisville Assembly plant would shift to the Kentucky truck plant to help meet growing demand.
At the time, Kentucky Truck Plant Manager Andrew Tapp explained, “the time these products are staying on the lot is very low, meaning they turn around really fast.”
“My son works at the truck plant and he said, 'dad, just got three years and I’m super proud," Dunn said. "I said, I’m glad you’re here and I’m glad you’re working.”
Dunn added the workforce is accepting of the plan, and they have to be, to continue to be viable in the industry and enjoy their retirement eventually.
About 500 U.S. workers will be notified this week with cuts to continue through August.