Ford bucks trend, will hire 1,000 workers at F-150 plant
Come January, about 1,000 laid-off Ford workers will get their jobs back. That's because Ford, despite industry trends, is predicting that sales of its re-designed F-150 will surpass its current reduced manufacturing capacity. To prepare for this, Ford will restore a third shift at its Dearborn Truck Plant in January and invite back 1,000 workers who were previously laid off. When the wayward workers arrive back on the job, the plant's payroll will swell back up to 3,300 workers. The announcement came yesterday during a celebration at the plant to kick off production of the 2009 F-150, which was attended by Ford CEO Alan Mulally, President of the Americas Mark Fields and Ford family scion Bill Ford Jr.
Ford says the need to restore third-shift workers is in part due to the company's success selling highly-incentivized, left-over 2008 models. We certainly liked the new F-150, and so does Texas, apparently. Then again, it doesn't hurt that the 2009 model already has a $2,000 rebate on it shood.
The AP also reports that Ford has no plans to scale back its overall product development or the F-150's marketing budget. The first of the new F-150's TV ads are set to run this Sunday on "NFL on FOX".
Gallery: First Drive: 2009 Ford F-150
[Source: The Associated Press via fseriestrucks.com, Photo by Bill Pugliano/Getty]
Reader Comments (Page 1 of 2)
Nightcrawler 1:41PM (10/31/2008)
Seems risky, but I guess if you are going to gain market share you have to take some risks. Maybe they are betting on Dodge trucks going away and want to have the inventory on the lot to pick up sales from would-be Dodge buyers.
Reply
Jake 1:43PM (10/31/2008)
Good point. I wonder if people hearing all about Dodge trucks eventually going the way of the dinosaurs will make them much less likely to buy one.
Red 1:55PM (10/31/2008)
Good point, but then, this risk is based on the assumption that GM and Chrysler are merging. Yesterday it was all but a done deal according to most of the blogs. This morning though, it's been stalled because the Feds don't want to hand out $10 billion if GM/Chrysler are going to cut jobs. I would've waited to until after the LA Auto Show to make the announcement myself, but I suppose they needed to reassure their stockholders with stocks pretty much being garbage right now.
Nonetheless, glad to see some good news from a domestic automaker in the midst of all the doom and gloom.
vincenzo 2:20PM (10/31/2008)
Alan, Seeing how the Fords won't ...
Please sell/outsource the Lions!!!
Robert 2:28PM (10/31/2008)
Look at it from this perspective: Ford had about 90,000 2008 F-150s on lots at the end of September. Ford was betting a 50/50 mix by February originally. Last month, they changed that to end of the year. Dealers around here moved almost 1/3 of their 2008 F-150s this month and may be 50/50 before the end of the year.
If Ford hasn't seen further deterioration in commercial fleet demand and its inventories of 2008s are being sold down, then Ford needs an extra shift to fill dealers lots, and they'll need it probably right after the end of the year.
If you look at it from production capacity, Ford has about 300-350k in volume online right now at DTP and KCAP. But sales this year are still going to be 400k or so of just the F-150 (not including the Super Duty). Add in a new model... they will probably need that third shift to assure capacity. They can slow the line or require overtime at KCAP to meet the seasonal demands and adjust to any fleet orders or slow down in demand that they meet next year. But right now, I assume they're looking at 2009 and see a similar annual sales rate except with stable to higher overall truck share and higher marketshare of their new F-150 within the segment.
Jake 1:47PM (10/31/2008)
Seems to me that I hear a continuing stream of doom and gloom from GM and delays of new cars and so on.
But, at the same time from Ford, it is mostly positive. New Mustang, new Fusion/Milan, new hybrid options, new Lincoln, Fiesta, new F150 delivered, new engines, positive expectation for sales.
This, I suppose, is one thing that makes me suspect about all the gloomy talk of catastrophe from GM.
Reply
C.W. 2:53PM (10/31/2008)
that is a great observation.
like Alan Mulally said a year ago, this transformation will be a PRODUCT led transformation. He vowed to spend the money they have to transform plants, bring new models, and shorten product cycles. they are setting themselves to leapfrog their domestic competition. Ford is a perfect example of doing what it takes to turn things around. I have a feeling that someday we will look back at this era and say "wow, remember when Ford made the biggest corporate turnaround in history?!"
i'm pulling for them.
hyundaifans.com 4:25PM (10/31/2008)
While its nice to hear of Ford hiring 1000 workers, news from them has been just as bad or even worse than GM. Yes. new products might be announced but moving them off the showroom floor is what i would term good news. Case in point - the Flex. As "different" as it is, "flying off the shelves" at dealerships is not exactly a term i would use to describe sales so far.
Dave 1:53PM (10/31/2008)
Where are their safety glasses?!?!?!?!
Reply
Randy 12:40PM (11/03/2008)
Work for OSHA?
LOL +1 on your comment too! :)
Matt 2:01PM (10/31/2008)
This is a very risk move. Seems Ford is once again putting their eggs in one big gas guzzling basket...and we all know how that worked for them in the past. Ford is hoping that this country will return to the days when pickups and SUVs were bought as a fashion statement...and it is NOT going to happen. They really need to focus on their cars. They need the most work and have the potential largest market.
This adding workers non-sense is a recipe for disaster.
Reply
Arumage 2:23PM (10/31/2008)
Yes, because the new F150 is the only new vehicle Ford has in the works. Also, if you haven't noticed, gas prices are falling very fast, and people have very short memories. Pretty soon. The F-series trucks and Expedition will be the only BOF vehicles Ford has.
Nice try, but this "Everybody panic!" mentality is full of crap.
Robert 3:14PM (10/31/2008)
So, I guess the recently launched Escape, Flex and MKS don't count. The soon to be released Fusion, Milan and MKZ including the Fusion and Milan hybrids don't either. Ford will have their new Mustang on dealers lots this spring. The Transit Connect, Taurus and MKT will all be on dealer lots by this summer. In 2010, we have the Fiesta, Edge, Explorer, Focus, Mercury C-car and Lincoln MKX and the proliferation of the 4-cylinder Ecoboost engines and possibly a V6 hybrid for the Edge, Flex, Taurus and Lincoln applications.
Yeah... all the eggs in one basket.
Matt 12:31AM (11/01/2008)
"So, I guess the recently launched Escape, Flex and MKS don't count. The soon to be released Fusion, Milan and MKZ including the Fusion and Milan hybrids don't either. Ford will have their new Mustang on dealers lots this spring. The Transit Connect, Taurus and MKT will all be on dealer lots by this summer. In 2010, we have the Fiesta, Edge, Explorer, Focus, Mercury C-car and Lincoln MKX and the proliferation of the 4-cylinder Ecoboost engines and possibly a V6 hybrid for the Edge, Flex, Taurus and Lincoln applications.
Yeah... all the eggs in one basket."
The Flex and MKS are not efficient vehicles. The MKS gets WORSE mileage than the 375 HP Genesis.
The Fusion, Mercury Fusion, and Lincoln Fusion hybrids will be overlooked for the 80MPG Prius. The MKT will be the next best D3 flop...the Flex costs way too much...so Ford thinks it is best to introduce an even more expensive version. The Edge is completely redundant and not needed (Ford has the Escape...which is a 5-seat SUV that can tow 3500 pounds). Explorer? Rides on the D3...so it will flop.
But...they will have plenty of gas guzzling F-150's!
miles 11:52PM (10/31/2008)
C'mon Matt, I just paid $2.15 for a gallon of gas and yes, the populace does have a very short memory. Can you blame a company for trying to sell it's most profitable vehicle?
Bottom line is if they're wrong and the trucks stack up on the dealer lots then telling that shift to stay home is quickly done if need be to cut production back again. (despite the headline these aren't new hires, they're callbacks from the previous layoff) But what if you're caught without enough stock when sales pick up? It takes time to ramp up production, and that would mean lost sales.
Oh Wait! They're just the D3 so whatever they do is stupid.
Bet if it was the Hoyota F150 you'd be praising it as genius.
Menice 1:53PM (10/31/2008)
Mr Shiney Suit looks like he is in a lot of pain.... or really really doesnt like that guys hand on his arse.
Reply
Gardiner Westbound 2:37PM (10/31/2008)
It's time Mulally got a break!
Reply
jason 2:48PM (10/31/2008)
Trucks are still HOT sellers in the US, regardless of 'common opinions'. I run websites for some dealers, and the traffic and leads generated from the truck and SUV pages on their sites still dwarfs the smaller cars. Even when gas was $4 a gallon.
case in point:
http://www.libertyauto.com
The traffic and leads from the ram trucks are double the cars.. and Wranglers are DOUBLE the trucks! The traffic stats from autotrader show the same thing - interest never really dropped much for trucks.
jason
http://www.genuinechryslerwarranty.com
Reply
ihohioihioh 3:22PM (10/31/2008)
In a year where a socialist bobblehead with no experience, a questionable past, and who in his own words called the Constitution "seriously flawed" will probably become President - I'd say anything is possible at this point.
Reply
Red 4:26PM (10/31/2008)
You must be talking about McCain and Palin.
http://www.youtube.com/watch?v=wzbYy0uNaKc
http://www.youtube.com/watch?v=YNke6ad0t6g
If not, shut the f*ck up and leave politics out of this, you uninformed moron.