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Mass layoffs by Ford cause stocks to fall; understand

It was disclosed last Monday, August 22, by the giant automaker Ford, that they will be dismissed around 3,000 people, including workers in its factories and also some employees who work under contractual. This is all happening because the company needs to cut its costs, which coincided precisely with the period in which the automaker is making its transition to electric vehicles.

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Ford also sent an email internally to its employees, and the newspaper that made the official statement, the Wall Street Journal, had access to its content. The message said that whoever is in the company's shutdown plans will receive the notice later this week.

This reduction in the automaker's workforce will affect employees from different places, most of them workers from units in the US, Canada and also in India. Approximately 2,000 jobs that will be extinguished are at just one unit of the automaker in the city of Dearborn, Michigan. The other nearly 1,000 employees who will be dismissed are contractual workers in other locations, according to the company.

Shutdowns were not expected. The Wall Street Journal and some other newspapers previously showed, in the month of July, that Ford would be carrying out some shutdowns, which are part of a restructuring to reinforce the focus on electric vehicles and also on the batteries that will be used in them.

It is also worth mentioning that the automaker's shares had accumulated an increase of about 13% in the last 30 days, but with these new movements the shares fell, being traded with a low of 4.75% on the same day of announcement.

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