US carmaker Ford said Friday that it would cut around 1,100 jobs at its Valencia factory in Spain as it reorganises operations in Europe, a move the Spanish government said left it greatly concerned.
The cuts are due to the factory's plans to halt production of the S-Max and Galaxy models in April, a Ford spokeswoman told AFP.
"Around 1,100 jobs are involved," she said, adding that Ford would "work constructively with the trade unions to reduce the impact" of the cuts "on employees, their families and the local community".
But Spanish Industry Minister Reyes Maroto said the planned cuts were "of utmost concern".
"I want to make it very clear that the public aid the government is giving to enable the transition towards electric mobility, is conditioned on retaining jobs," she told Cadena Ser radio.
Ford has expressed an interest in receiving such funds, provided within the framework of the European economic recovery plan.
Last month, Ford announced another 3,800 job cuts elsewhere in Europe, including 2,300 positions in Germany and 1,300 in Britain.
Those cuts, which represented about 10 percent of its European staff, hit product development and administrative functions, not manufacturing positions.
Ford said the aim was to create "a leaner, more competitive cost structure" and allow it to reduce the number of models developed for the European market, concentrate on the profitable van segment and speed up the transition to electric vehicles.
Like other automakers, Ford has decided to shift to battery electric vehicles, which requires massive investments in developing new technologies and retooling factories.
The job cuts come as concerns mount in Europe about the impact of substantial US subsidies for electric vehicles manufactured in the country, which could prompt foreign automakers to shift toward American production sites.
