Ford Mustangs are assembled at the Ford Flat Rock Assembly Plant on August 20, 2015 in Flat Rock, Michigan.
Ford engine Thursday said it will add about 6,200 union jobs in the Midwest as it renovates three plants to build new electric and gas-powered models, including a new seventh-generation version of the Mustang coupe.
The factory’s investments, which are expected to cost $ 3.7 billion, will reorganize facilities to build a new commercial electric vehicle and completely new versions of the gas-powered Ford Mustang and Ford Ranger. Ford also wants to add workers to increase production of Ford Transit commercial vans and Ford F-150 Lightning electric pickups.
The company has not provided any details on the new electric commercial vehicle, except to say that its production will begin “in the mid-decade” at an existing plant in Ohio.
In addition to the new jobs, nearly 3,000 temporary factory employees will be hired full-time ahead of a negotiated program with United Auto Workers, said Kumar Galhotra, president of Ford’s “Ford Blue” internal combustion business, in a statement. media meeting
All of these employees will receive salary increases and health benefits immediately, Galhotra said.
Following talks with the UAW, Ford said it will also spend $ 1 billion on workplace improvements in U.S. factories over the next five years, including better lighting in parking lots and more food options in canteens.
The victories for the union come as many US companies are struggling to hire workers and as inflation is fueling Americans’ uncertainty about their finances.
It is unusual for a Detroit automaker to grant significant concessions to UAW-represented workers outside of the contract renewal process, which happens every four years. the current working agreement between Ford and UAW is not pending renewal until September 2023.
The moves could be intended to alleviate the union’s concerns on two new huge Ford electric vehicle factory campus, in Kentucky and Tennessee, which may not have UAW representation. Both states have so-called “right to work” states, and Ford said he will allow his hourly workers in those states to choose whether they want to be represented by the union.