Ford Motor Co. has revealed details of its plans to add more than 6,200 new U.S. manufacturing jobs in the Midwest, converting nearly 3,000 temporary UAW-Ford workers to permanent full-time status as well as providing all hourly employees healthcare benefits on the first day of employment.
These actions, which come more than a year ahead of 2023 contract negotiations, are part of the company’s Ford+ growth strategy and include plans for an all-new global Mustang coupe and Ranger pickup for North America, as well as an all-new electric commercial vehicle.
Supported by $3.7 billion of investments in manufacturing facilities across Ohio, Michigan and Missouri, the new UAW-Ford manufacturing jobs are expected to result in the creation of an estimated 74,000 additional indirect non-Ford jobs nationally.
“Ford is America’s No. 1 employer of hourly autoworkers, and this investment only deepens our commitment to building great new vehicles…right here in the U.S. in partnership with the UAW,” says Bill Ford, executive chair of Ford. “I am proud that we are investing in the Midwest and taking real action to provide better benefits and working conditions for our workers on the plant floor.”
These actions come a year after the company detailed its Ford+ plan to transform its global automotive business, accelerating the development and scaling of new electric, connected vehicles, while leveraging existing nameplates to strengthen operating performance and take advantage of engineering and industrial capabilities.
The UAW and Ford broke with convention by not waiting until formal UAW contract negotiations to announce new vehicles, plant investments and workplace improvements. The current UAW contract expires in 2023.
“We’re investing in American jobs and our employees to build a new generation of incredible Ford vehicles and continue our Ford+ transformation,” says Ford President and CEO Jim Farley. “Transforming our company for the next era of American manufacturing requires new ways of working, and together with UAW leadership, we are leading the way and moving fast to make improvements to benefits for our hourly employees and working conditions for our factory teams.”
Ford plans to invest $1 billion over the next five years to improve the workplace experience for manufacturing employees. As a result of discussions with the UAW, Ford is taking steps to identify and address the top wants and needs of employees. Potential enhancements include better access to healthy food, new EV chargers in plant parking lots, and better lighting in parking lots.
“This announcement is a testament to UAW members who contribute their skill, experience and knowledge to the success of Ford Motor Co.,” says UAW President Ray Curry. “We are always advocating to employers and legislators that union jobs are worth the investment. Ford stepped up to the plate by adding these jobs and converting 3,000 UAW members to permanent, full-time status with benefits.”
Ford’s latest investment and job creation span three states.
In Michigan, Ford is investing $2 billion and creating 3,200 union jobs. The investments are intended to increase production of the F-150 Lightning electric truck to 150,000 per year at Rouge Electric Vehicle Center in Dearborn; produce an all-new Ranger pickup at Michigan Assembly Plant in Wayne; and produce an all-new Mustang coupe at Flat Rock Assembly Plant. The investment also includes $35 million to build a new Ford Customer Service Division packaging facility in Monroe that will create more than 600 union jobs. Operations are expected to begin there in 2024.
In Ohio, Ford is investing $1.5 billion and creating 1,800 union jobs at its plant in Sheffield to assemble an all-new electric commercial vehicle starting mid-decade. Ford is also adding 90 jobs and investing $100 million at its engine assembly plant in Lima and its transmission plant in Sharonville.
In Missouri, Ford is investing $95 million and creating 1,100 union jobs for a third shift at its Kansas City Assembly Plant to increase production of the Transit, America’s best-selling commercial van, and the all-new E-Transit electric van
This June announcement is in addition to the approximately 11,000 new jobs Ford announced in September 2021 with its partner SK On, as part of a joint $11.4 billion investment to create BlueOval City in Stanton, TN, and BlueOval SK Battery Park in Glendale, KY.