Filed under: Hirings/Firings/Layoffs, Ford, UAW/Unions
BREAKING: UAW and Ford reach tentative agreement
by John Neff on Nov 3rd 2007 at 11:21AM 
You know what they say: third time's a charm. After the United Auto Workers union was forced to strike against both General Motors and Chrysler LLC., it somehow found a way to come to terms with Ford Motor Co. after two marathon days of negotiations this past week. Ford's press release contains no details about the tentative four-year contract itself, except to say that it applies to all 54,000 UAW workers who have their checks signed by Ford. The contract will remain tentative until those 54,000 rank and file workers vote on it. All it needs is a majority vote from Ford's hourly workforce, but as we learned with the UAW-Chrysler contract that was almost defeated in a popular vote, that's easier said than done. When the details of this contract emerge, it will become more apparent whether it favors the union or the automaker, and thus whether or not the average worker will be likely vote for it.
Check out the official statement from Ford after the jump.
[Source: Ford]
STATEMENT: UAW-FORD REACH TENTATIVE AGREEMENT ON NEW NATIONAL LABOR AGREEMENT
Note: The following statement is attributable to Joe Laymon, group vice president, Human Resources and Labor Affairs, Ford Motor Company.
DEARBORN, Mich., Nov. 3 -- The United Auto Workers union (UAW) and Ford have reached a tentative agreement on a four-year national labor contract covering approximately 54,000 represented employees in the United States.
I'd like to take this opportunity to thank UAW President Ron Gettelfinger, UAW Vice President Bob King and the entire UAW national bargaining committee for all of their hard work and professionalism over the past several months. I would also like to thank the Ford bargaining team for its skill and dedication during this complex and challenging set of negotiations.
The agreement is subject to ratification by UAW members. It includes a memorandum of understanding to establish an independent retiree health care trust. Following ratification, implementation of the memorandum of understanding is subject to approval by the courts and satisfactory review of accounting treatment with the Securities and Exchange Commission.
Though we will not discuss the specifics of the tentative agreement until after it becomes final, we believe it is fair to our employees and retirees, and paves the way for Ford to increase its competitiveness in the United States.
Reader Comments (Page 1 of 1)
FC RX7 Driver 12:25PM (11/03/2007)
They can't really push Ford around too much. Ford is the most fragile of the three, I hope UAW knows this. I don't think Ford can cope as well as the other two automakers.
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SherbornSean 2:10PM (11/03/2007)
Yes and no. UAW leadership knows Ford is weak, but rank-and-file, who must approve any contract, don't. I bet they veto the contract, over concerns for job security.
Then what?
FC RX7 Driver 2:41PM (11/03/2007)
That's the irony... they work for FORD! There is no job security. Unless the company does really well for a long time, there is no job security people could be laid off at any given time. Will the "new" focus be a hit? The fusion is a good car, and the edge is a nice SUV, but how are they doing over all. They were down 16.4% last month.
paul34 1:18PM (11/03/2007)
Is there any situation, no matter how ridiculous or drastic, in which the Big 2.5 can shed all their UAW workers?
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elprogramer 2:32PM (11/03/2007)
Of course not.
Frank 7:41AM (11/04/2007)
Under Chapter 11 Bankruptcy, Ford can invalidate the workers contracts. It cannot fire all of them and just hire someone to take their place, but without a contract Ford could trim as many workers as it needs to right size itself. Ford can also set a new wage. But it doesn't have total power under this situation. EVERYTHING Ford wants to do, including anything concerning it's workers - union or non-union - would have to approved by the bankruptcy judge.
PakieMak 1:36PM (11/03/2007)
You would think union workers would help the company that helps them? Maybe each (and all) employees contribute an additional 10 hours a week for free that will cut down costs but increase production and increase the company/ employee bond.
10 hours are not a lot to ask. I work for a company that is struggling and I put in an additional 10-free-hours per week and isn't hurting my social life. My work is up-to-date and I even help out in other departments.
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Greek Boy 1:47PM (11/03/2007)
It seems Ford has been doing everything right lately, so good for them.
What have they been doing right? Every new product seems to be a big hit, unlike Chrysler that is killing off lame products or GM which has lots of new products not selling nearly as good.
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SherbornSean 4:24PM (11/03/2007)
Greek boy,
Where do you get your data? The Acadia/Outlook/Enclave outsell the Edge/MKX. The Taurus and Focus refreshes have been panned and are not selling.
What new product shows Ford "doing everything right"?
That One Person 5:21PM (11/03/2007)
That Taurus isn't selling but the Focus just came out and from what I understand, it has had a decent start. And I believe the Escape is also doing decent in the sales department.
And of course THREE CUVs outsell two. Either way, the Edge and MKX are selling pretty well. Just because GM sells more doesn't mean much. Just as long Ford makes money off of them.
Ford may not be enjoying a ton of success but some of their refreshed and new vehicles are doing ok.
Austin 5:42PM (11/03/2007)
Together the Edge and MkX had sales of around 19,000 units last month. The GM trio sold only 13,000, so SherbornSean you are wrong, do the figures and learn some math. It even said on the Ford website that they have been outselling them. What an idiot.
LMdealer 9:37PM (11/03/2007)
SherbornSean....
FYI
According to Automotive News Ford sold 17,920 Edge/MKX in October and 134,546 YTD compared to GM's Acadia/Outlook/Enclave at 12,822 in October and 107,954 YTD. So I am not sure where Greek Boy got his information but now you know where my information comes from. The numbers tell us that Ford sold 5,098 more in October and 26,592 more YTD.
Also according to Automotive News Ford sold 568 more Taurus/TaurusX/Sable vehicles in October 07 than October 06. Focus sales were also up year over year with over 1,200 of them being the new 2008 which was only available in limited supplies for approximately the last two weeks of the month.
These are facts published by a reliable source. I am wondering where you got your information Sherlock err .... I mean Sherborn.
geo.stewart 9:52PM (11/03/2007)
Ford shed a LOT of union workers through buyout earlier this yr or last yr, so they are probably less dependent than the others. I thought Bill was going to buy out the lot and start fresh but I think they ran out of money to go that far.
It would be interesting to see Chrysler do that, buy them all out and start fresh, but then there is the problem of the current product.
PERSONALLY, I think GM is coming out with better product than Ford (in the USDM) but that's me. Fusion holds promise and the SportTrac but the Edge is kind of heavy and bulky, not sure the point over the explorer or Taurus X. All three seem to be going after the same market. GM has issues but is turning it around car by car.
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