Ford returns overseas production to Detroit
Monday, May 24, 2010 at 04:17PM Union accepts lower wages to create 170 new jobs in Michigan
Two Ford Motor Co. factories near Detroit will see 170 new jobs created in the next two years as the automaker brings battery pack and gas-electric hybrid transmission assembly to the United States.
The company said Monday it will create a "centre of excellence" for electric vehicle development in the Detroit area, and it intends to add more than 50 engineers to work on the next generation of electric vehicles.
Ford said it will invest $135 million by 2012 at factories in Ypsilanti Township and Sterling Heights, Mich., to design, engineer and produce components for its next generation of hybrids and fully electric vehicles.
Currently a supplier makes complex hybrid transmissions for Ford in Japan, while battery packs are assembled in Mexico, the company said.
Mark Fields, Ford's president of the Americas, said further job growth and investment depend on acceptance of electric vehicles in the marketplace.
Ford plans to sell five electric or hybrid vehicles in the U.S. by 2012 and Europe by 2013. It currently offers four hybrid models.
"The good news is we're making the investment now, it's going to result in obviously driving innovation, driving job growth. We'll see where we go from there," Fields said.
$135 million for two factories
The Ypsilanti factory, which now makes auto parts, will get $10 million of investment to build battery packs, creating about 40 new jobs. The packs are now assembled by Delphi Corp. in Mexico. Ford will get its advanced lithium-ion battery cells from a parts supplier that it would not identify.
The Sterling Heights transmission factory will get a $125-million investment and 130 new jobs to build the continuously variable hybrid transmissions now built in Japan.
Fields said Ford was able to bring the jobs to the U.S. because of co-operation with the United Auto Workers on wages and productivity.
'This is an area that will expand and grow, especially the batteries.'—Bob King, UAW
The company and the union, he said, agreed on how to do the work so the business case made sense.
UAW vice-president Bob King, who has been nominated to become the union's president, said the co-operation was essential to bringing jobs that Ford, which is based in Dearborn, Mich., could have kept in other countries.
The company's decision also creates the potential for more work, he said.
"This is an area that will expand and grow, especially the batteries," he said.
New hires to earn 50% less than current workforce
Under the terms of its UAW contract, Ford will be able to pay the new workers around $14 per hour, about half the hourly wage it pays existing workers.
Before hiring new workers, the automaker will have to recall about 450 laid-off workers nationwide, but it expects to do that well before the Ypsilanti and Sterling Heights jobs are filled.
Fields, King and several local and federal politicians are to make the factory announcement at the Ypsilanti Township plant on Monday.
The news follows Friday's announcement that Chrysler Group LLC will add nearly 1,100 new jobs at a Detroit plant that makes the new Jeep Grand Cherokee.
Both announcements give hope to Michigan, which has the highest unemployment rate in the nation at 14 per cent.
Source: CBC News
Read more: http://www.cbc.ca/money/story/2010/05/24/ford-electric-michigan-jobs-100524.html?ref=rss#ixzz0osd2fgPM
NOTICE - All Rights Reserved Except as Stipulated Below. PHOTOS MAY NOT BE REPRODUCED IN ANY FORM. Our reporters and journalists break or report stories and their sources and information are protected by the doctrine of free press as expressed in the First Ammendment, Reporters Privilege Statues, and also the Canadian Charter of Rights and Freedoms.This article if a feature or opinion piece is the opinion of the author or reports the news and opinions of others and is NOT INTENDED TO OFFER ADVICE. FOR OPINION STORIES: This story/article/ feature may be an opinion piece — and should be treated accordingly — or reporting on the opinions of others, and should never be considered as a sole source of information or as a suggestion, instruction or prescription. FOR CRIME STORIES: always read the word "allegedly" in any story mentioning "suspects" or "persons of interest". FOR BUSINESSS AND MONEY STORIES: For money/ trade and exchange stories, this magazine and its writers accept no responsibility for accuracy — always check with other sources for important decisions. FOR HEALTH AND LIFESTYLE STORIES: In the case of food/health stories, these facts have not been evaluated by the United States Food and Drug Administration (FDA). Information stated here should be NOT be considered as medical, health, psychological or behavior advice. All information in this story and on this site is provided for educational or entertainment purposes ONLY. Always seek the advice of experts, including doctors for medical opinions. Only a licensed medical doctor can offer medical advice. FOR EXPERT, ADVICE OR HOW-TO STORIES: Legal advice or other expert advice is best referred to experts in their respective fields. NO RESPONSIBILITY: The publishers and editors, authors, researchers, employees, heirs and assigns accept no responsibility whatsoever for any advice, facts, opinions in this story, nor for resulting actions of readers of this information. ALL READERS ACCEPT THAT THIS INFORMATION IS PRESENTED ONLY AS NEWS, EDUCATION, ENTERTAINMENT OR OPINION/INFORMATION AND AGREE IN READING THIS STORY OR THIS SITE THAT USE OF THIS INFORMATION IS SOLELY THE RESPONSIBILITY OF THE READER. Copyright by the byline author unless otherwise indicated. EXCERPTS from other magazines or media sources are posted under fair use doctrine, on the basis of no more than 5-10% of content with links and credit to source for the complete story. These are posted in the interest of providing interesting links (description as excerpt) with navigation to the source. Likewise, we encourage our many subscribers to excerpt with credit and links to our e-zines, up to 10% of content. To use more content than 10%, please contact the e-zine for permission. ALL RIGHTS RESERVED except as stipulated herein. IMPORTANT: this web content also includes a forum and comments function, which allows for posting from users not employed by this publication. We accept no responsibility for posts, content, language or accuracy of posts from outside parties but will attempt to correct any inaccuracies reported within the context of free speach. Where possible, spam, lewd or obscene comments WILL BE REMOVED.
Persona Corp. and Blogertize publishes several webzines, magazines, e-zines for news, entertainment and information, but cautions readers to read the NOTICE above:
* Secure Network News Sponsored Advertisers Jameson Bank – Canada's "It's Taken Care Of" Bank Amer.com – Technology for Life
Reader Comments