Ford Issues Official Statement on UAW Contract Ratification
After the United Auto Workers’ contract was ratified by all three Detroit-based automakers, Ford has released an official statement regarding the ratification. While the statement doesn’t delve into specific details, it does highlight Ford’s willingness to accommodate the UAW and addresses potential concerns about increased operational costs.
Ford’s Commitment to Quality Control and New Products
The statement, delivered by Ford President and CEO Jim Farley, emphasizes the company’s interest in addressing quality control issues and mentions upcoming new products. This suggests that the new labor agreement may lead to price increases as Ford rationalizes the need for higher operating costs.
“We are pleased the agreement has been ratified and we are very happy for our more than 57,000 UAW-represented employees and their families. Ford believes in rewarding all of our people and growing the middle class in America — and we have shown that with our actions over many years.
Now, we are getting back to work as one Ford team. Thankfully, we are on track to reach full production schedules in the coming days at our assembly plants in Michigan, Kentucky, and Illinois that were affected during the strike. I’m excited to personally get out to as many of our plants and operations as possible in the coming weeks and months to spend time with our teams who build our vehicles.
Ford is America’s No. 1 brand again, and we want to build on that in 2024. We are entering one of our biggest-ever new product launch years in the U.S. We need to deliver these new vehicles on time and with top quality. This is critical!! I am talking about the new Ranger and Ranger Raptor, new F-150 and F-150 Raptor, new Expedition, new Explorer, new Lincoln Navigator, and new Lincoln Aviator. All told, we are refreshing about half of our U.S. volume in 2024. We are also working flat out on our next generation of electric vehicles and software platforms.
It’s also imperative that we continue to attack cost and waste throughout our operations. The reality is that this labor agreement added significant cost, and we are going to have to work very hard on productivity and efficiency to become more competitive.”
While Ford’s approach to the UAW contract ratification may seem similar to its competitors, the company aims to maintain business as usual and downplay any perceived favoritism towards the union. The statement effectively concludes contract negotiations between Ford and the UAW for the foreseeable future.
[Image: Ford Motor Co.]
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