Ford Australia is cutting 440 jobs across its business, mainly from its manufacturing divisions.
The move comes as Ford seeks to reduce overall production numbers in the next three months “to more closely align production with current market demand”.
Production will change from 209 vehicles per day to 148 vehicles per day in November 2012.
The car manufacturer will offer redundancies on a voluntary basis in the first instance but said a compulsory program “may follow” if the required reductions aren’t reached.
Ford Australia president and chief executive Bob Graziano said the reductions were necessary in order to provide more stability and certainty for the business.
“We understand that, unfortunately, the impact on our employees will be significant, but implementing this structural change is essential to ensure the longer-term health of the business, which is important for our employees, our suppliers and the communities in which we operate,” he said.
“All employees who take up the redundancy will receive a competitive redundancy package, including training and career counselling; and we will work closely with them and our union partners to help our employees make the transition successfully.”
This article first appeared at SmartCompany.