Black Monday: Ford to cut 30,000 jobs & close plants

siko · 01-23-2006, 08:06 PM

Ford seen cutting up to 30,000 jobs
Report: Restructuring could close up to 10 plants, cutting far deeper than earlier reports.
December 7, 2005: 9:34 AM EST

NEW YORK (CNNMoney.com) - Ford Motor Co. plans to close at least 10 plants and cut 25,000 to 30,000 hourly jobs in North America within five years, according to a published report Wednesday.

The Detroit News, quoting people familiar with the plan, said the deep cuts will be presented to the Ford board of directors for consideration Wednesday. It will not be revealed to the public until Jan. 23, according to the paper.

The cuts are much deeper than earlier reports, which initially had Ford closing as few as three assembly plants and cutting only about 7,000 positions.

Ford spokesman Oscar Suris would only tell the paper, "Our work continues. These plans will be final when they're ready to be shared publicly."

The paper said that the shakeups at Ford will include the departure of as many as seven top executives in the coming weeks.

Ford had 87,000 UAW-represented workers in North America at the end of 2004, along with about 11,600 union workers in Canada, according to the paper.

The depth of the cuts would be comparable to the plans announced at General Motors two weeks ago to close a dozen North American facilities and eliminate about 30,000 hourly jobs.

Sources familiar with Ford's strategy told the paper the decision about which plants to close has not been finalized, adding that Ford may only announce a few specific plant closures in January. UAW Vice President Gerald Bantom told the paper that the details of Ford's restructuring plan will be released Jan. 23, but said the union does not know the extent of Ford's planned cuts.

"We're hoping that nothing happens," said Bantom, who heads the UAW's Ford bargaining unit. "But we know that's not going to happen."

Over the past year, Ford's pretax profits in North America have fallen from almost $1.8 billion in the first nine months of 2004 to a loss of nearly $2.2 billion for the same period in 2005.

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GM too...

GM slashing 30,000 jobs, closing plants
Five U.S. assembly plants to be shut down in cost-cutting move

DETROIT - General Motors Corp. will eliminate 30,000 jobs and close nine North American assembly, stamping and powertrain plants by 2008 as part of an effort to get production in line with demand and position the world’s biggest automaker to start making money again after absorbing nearly $4 billion in losses so far this year.

The announcement Monday by Rick Wagoner, GM’s chairman and CEO, represents 5,000 more job cuts than the 25,000 that the automaker had previously indicated it planned to cut. United Auto Workers union leaders called the cuts “extremely disappointing, unfair and unfortunate.”

The 30,000 job cuts represent about 9 percent of GM’s global work force of about 325,000 people.

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The Artist · 01-23-2006, 08:10 PM

wow hard times for the american car industry

Yannis · 01-24-2006, 10:52 AM

Since GM is cutting the jobs then why it says Ford in the title of the forum?

bmwrules · 01-24-2006, 01:23 PM

Quote:

Originally Posted by Yannis

Since GM is cutting the jobs then why it says Ford in the title of the forum?

I think the thread starter got mixed up somewhere. Ford is indeed cutting 30,000 jobs and closing a bunch of plants.

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GM announced their cuts back in November.

siko · 01-24-2006, 03:18 PM

Quote:

Originally Posted by Yannis

Since GM is cutting the jobs then why it says Ford in the title of the forum?

Sorry Yannis, I'm an idiot. I mixed up articles (

) as both are doing the same thing!

Yannis · 01-25-2006, 01:06 AM

Quote:

Originally Posted by siko

Sorry Yannis, I'm an idiot. I mixed up articles (

) as both are doing the same thing!

Don't worry. After bmwrules' explaination now things are clear.

01-23-2006, 08:06 PM	#1 (permalink)
siko Devotee Join Date: Nov 2005 Location: Montreal, Canada Posts: 3,586 My Mood: Thanks: 815 Thanked 688 Times in 362 Posts	Black Monday: Ford to cut 30,000 jobs & close plants Ford seen cutting up to 30,000 jobs Report: Restructuring could close up to 10 plants, cutting far deeper than earlier reports. December 7, 2005: 9:34 AM EST NEW YORK (CNNMoney.com) - Ford Motor Co. plans to close at least 10 plants and cut 25,000 to 30,000 hourly jobs in North America within five years, according to a published report Wednesday. The Detroit News, quoting people familiar with the plan, said the deep cuts will be presented to the Ford board of directors for consideration Wednesday. It will not be revealed to the public until Jan. 23, according to the paper. The cuts are much deeper than earlier reports, which initially had Ford closing as few as three assembly plants and cutting only about 7,000 positions. Ford spokesman Oscar Suris would only tell the paper, "Our work continues. These plans will be final when they're ready to be shared publicly." The paper said that the shakeups at Ford will include the departure of as many as seven top executives in the coming weeks. Ford had 87,000 UAW-represented workers in North America at the end of 2004, along with about 11,600 union workers in Canada, according to the paper. The depth of the cuts would be comparable to the plans announced at General Motors two weeks ago to close a dozen North American facilities and eliminate about 30,000 hourly jobs. Sources familiar with Ford's strategy told the paper the decision about which plants to close has not been finalized, adding that Ford may only announce a few specific plant closures in January. UAW Vice President Gerald Bantom told the paper that the details of Ford's restructuring plan will be released Jan. 23, but said the union does not know the extent of Ford's planned cuts. "We're hoping that nothing happens," said Bantom, who heads the UAW's Ford bargaining unit. "But we know that's not going to happen." Over the past year, Ford's pretax profits in North America have fallen from almost $1.8 billion in the first nine months of 2004 to a loss of nearly $2.2 billion for the same period in 2005. - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER GM too... GM slashing 30,000 jobs, closing plants Five U.S. assembly plants to be shut down in cost-cutting move DETROIT - General Motors Corp. will eliminate 30,000 jobs and close nine North American assembly, stamping and powertrain plants by 2008 as part of an effort to get production in line with demand and position the world’s biggest automaker to start making money again after absorbing nearly $4 billion in losses so far this year. The announcement Monday by Rick Wagoner, GM’s chairman and CEO, represents 5,000 more job cuts than the 25,000 that the automaker had previously indicated it planned to cut. United Auto Workers union leaders called the cuts “extremely disappointing, unfair and unfortunate.” The 30,000 job cuts represent about 9 percent of GM’s global work force of about 325,000 people. - ONLY REGISTERED AND ACTIVATED USERS CAN SEE ALL LINKS - CLICK HERE TO REGISTER Last edited by siko; 01-24-2006 at 03:17 PM.

01-23-2006, 08:10 PM	#2 (permalink)
The Artist Shaolin Shadow Boxer Join Date: Sep 2005 Location: Sweden Gothenburg Posts: 11,443 My Mood: Thanks: 122 Thanked 724 Times in 455 Posts	Re: Black Monday: Ford to cut 30,000 jobs & close plants wow hard times for the american car industry

01-24-2006, 10:52 AM	#3 (permalink)
Yannis Philosopher Join Date: Sep 2005 Posts: 7,198 My Mood: Thanks: 1,243 Thanked 1,229 Times in 701 Posts	Re: Black Monday: Ford to cut 30,000 jobs & close plants Since GM is cutting the jobs then why it says Ford in the title of the forum?

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