Ford Motor Company (F) is cutting 950 jobs in Russia

Posted Apr 3, 2014

Ford Motor Company (NYSE:F) is going to cut jobs in Russia due to a weakening ruble currency and decrease in demand by customers in the local market. This will affect two plants in Ford’s joint venture with Russian manufacturer OAO Sollers. This will affect 700 positions in Saint Petersburg and 250 temporary positions in the Tartarstan region, which will be gone in June. The production in Saint Petersburg will also lose one shift. The demand of small cars has been dropped in favor of large SUVs. Ford said that the joint venture would continue to remain committed to the Russian market. The ruble currency lost 13% of its value against the dollar within the last year. The Saint Petersburg plant will be shutting down for over 4 weeks before single-shift production and painting starts on June 9th. This plant is known for building the Mondeo and Focus.
[Source: Bloomberg]