Automotive manufacturer Ford has announced proposals to cut 800 jobs across the UK as part of a wider European restructuring programme. If you are employed by Ford in the UK and your role is placed at risk, understanding your legal rights and the redundancy process will help you make informed decisions.
What has been announced
- On 20 November 2024, Ford announced plans to reduce its UK workforce by 800 roles.
- The planned job reductions form part of a broader restructuring programme across Ford's European operations.
- The company cited weak demand for electric vehicles and economic pressures as the primary drivers behind the decision.
- Specific UK sites and facilities affected by the proposed cuts were not detailed in the initial announcement.
About the company
Ford is an international automotive manufacturer operating across the UK and continental Europe.
The business designs, manufactures, and distributes passenger cars and commercial vehicles.
What happens next
Because Ford proposes to make 100 or more redundancies in the UK, employment law requires a minimum collective consultation period of 45 days before any dismissals take effect.
The employer must consult with trade union representatives or elected employee representatives to explore ways of avoiding dismissals, reducing the number of affected staff, and mitigating the consequences.
Employees placed at risk should also attend individual consultation meetings to discuss selection criteria, potential redeployment, and severance terms.
Staff with at least two continuous years of service who are dismissed on grounds of redundancy will be entitled to statutory redundancy pay, calculated based on age, weekly pay capped at the statutory limit, and length of service.
Voluntary or compulsory redundancy
Employers undergoing significant restructuring often invite applications for voluntary redundancy to minimise the need for compulsory job losses.
Voluntary redundancy packages may include enhanced severance payments that exceed the statutory minimum.
Ford is not obliged to accept every voluntary redundancy application, particularly if retaining specific skills is necessary for ongoing operations.
If an insufficient number of employees volunteer or are accepted, the company will proceed to compulsory redundancy selection using objective criteria.
Your settlement agreement
Ford may choose to offer settlement agreements to exiting staff to conclude their employment on agreed terms.
A settlement agreement is a legally binding contract where an employee waives the right to bring employment claims against the employer in return for agreed financial terms, which often include an enhanced severance payment.
To make a settlement agreement legally valid, the employee must receive advice from a qualified independent legal adviser, such as an employment solicitor.
Employers typically provide a financial contribution toward the legal fees required to obtain this independent advice.
Common questions
How long will the Ford redundancy consultation last?
Under England and Wales employment law, when an employer proposes to dismiss 100 or more employees within a 90-day period, collective consultation must last at least 45 days before the first redundancy notices can take effect.
Who qualifies for statutory redundancy pay?
Employees with at least two years of continuous service with Ford qualify for statutory redundancy pay. The amount depends on age, length of service, and weekly pay up to the legal statutory cap.
Do I have to sign a settlement agreement?
No, you are not legally required to sign a settlement agreement. You are entitled to review the terms, assess whether the compensation offered is fair, and take independent legal advice before deciding whether to sign.
How Deen & Co helps
Deen & Co Solicitors provides practical, independent advice to employees facing redundancy and restructuring. Our employment solicitors advise on collective consultation rights, review and negotiate settlement agreements, verify redundancy calculations, and ensure your legal interests are protected throughout the process.
Read more about settlement agreement advice or work out your statutory redundancy pay.
Sources
- Ford announces plan to axe 800 UK jobs as part of European restructuring - cardealermagazine.co.uk — cardealermagazine.co.uk (20 November 2024)
- Ford to cut 800 UK jobs as electric car sales flag - BBC — BBC (20 November 2024)
Last updated 20 September 2026. This page summarises publicly reported information and is general guidance, not legal advice on your own situation.
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