Ford Australia CEO steps down

Bill Osborne, chief executive of Ford Australia, has stepped down after a decision to cut more than 300 jobs from two factories in Victoria. Unions are warning that 2,000 more jobs could be lost in the fall-out. The Federal Government is now under further pressure to act on a report on how to safeguard the Australian car industry. Ford is expected to lay off 350 jobs or 15% of the company’s manufacturing workforce in Victoria, Australia in November. Ford blames rising fuel prices, a slowing economy and changing consumer preferences from big 6-cylinder cars. More cuts are on the cards as Ford reduces the speed of its production line by 20%. Ford already has plans to cut an additional 600 jobs when its Geelong engine plant in Victoria closes its doors in 2010. (August 22, 2008)