Report: Ford To Slash White-Collar Jobs

(CBS/AP)  A newspaper report says Ford Motor Co. may cut its U.S. salaried work force by up to 12 percent, or more than 2,000 jobs, as it tries to keep its restructuring plan on track amid slumping sales and record-high gas prices.

The Detroit News reported Wednesday that some employees were told about planned involuntary layoffs of about 10 percent - or as high as 12 percent - during a town hall-style meeting on Friday.

According to the report, the involuntary job cuts follow the elimination of more than 11,000 white-collar jobs since 2005 - mostly through voluntary buyouts and early retirement packages.

"We just can't afford it," said human resources official Madeline Eason. "We're looking to be as humane… as we possibly can," the newspaper reported.

Ford spokesman Mark Truby says no final decisions have been made on layoffs.

Ford announced last week it would cut production and no longer expects to return to profitability by 2009. Dearborn-based Ford didn't rule out layoffs and said it would release more detail about cost-cutting efforts in July.