Ford To Layoff 20,000 Workers after profits DROP 35% in 2017

May 16, 2017
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According to this Washington Examiner report Ford is planning to layoff 20,000 workers worldwide after reporting a 35% drop in Q1 profits.

Ford Motor Company is expected to announce later this week plans to gut 10 percent of its 200,000-person salaried workforce in North American and Asia, according to multiple reports late Monday.

The layoffs will go into effect by Oct. 1 and employees will receive early retirement incentives.

Hourly workers and those on the production line will not be effected.

Ford recently announced plans to cut $3 billion in costs after its profits in the first quarter of 2017 dropped 35 percent to $1.6 billion, according to a statement the company released April 27. It’s the first time in seven years since the recession that the company saw a decline in profits.

“Reducing costs and becoming as lean and efficient as possible also remain part of that work,” the company said in a statement. “We have not announced any new people efficiency actions, nor do we comment on speculation.”

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THOMASDISHAW.COM

Born and raised in the backwoods of Michigan, Thomas Dishaw is an independent writer and entrepreneur. His work has been criticized in Slate, Right Wing Watch, Gawker, Daily Mail, and NY Daily News. Thomas currently writes for NaturalNews.com and resides in Delaware with his wife and Shih Tzu, where they enjoy healthy eating, politics, MSU Spartans and conservative values.
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  • Disqus-helpsGOVTbreaklaws&kill

    cost of labor unions

    • Inretrospect

      It’s the cost of everything from building materials to labor. The cost of a comparable car in the 1970’s was about 90% less than it is now; however, it’s unlikely that many middle-class workers’ hourly rates have increased 90% over the last 40+ years.

      • Disqus-helpsGOVTbreaklaws&kill

        labor unions are the problem

        • Inretrospect

          Where would labor rates be without the Unions? If we didn’t have unions, would there be more Americans hired at lower rates, or would Americans be more easily replaced by unskilled, undocumented immigrants?

          Unions actually force “fair” competition: E.g. BMW built an auto assembly plant in South Carolina, and the UAW attempted to unionize the assembly line workers. To prevent unionization, BMW offered its workers profit sharing, which the workers accepted instead of joining the UAW.

          IMHO, BMW would not have offered Profit Sharing if an option like the UAW Union wasn’t available. They would also be earning a lower pay rate, with less benefits.

          • Disqus-helpsGOVTbreaklaws&kill

            you couldn’t be more wrong

          • Inretrospect

            Could you please give a little more explanation why you think I’m wrong?

        • Roman Hamilton

          I’m not union, but the UAW is just a small part of the problem. That’s a tale repeated over and over again, but while it does have some truth, the real problem is the management of the car companies.

          My father spent 36 years in GM. It was a very corrupt working environment with extreme nepotism, fraud and habitual lying by managers from top down.

          Then you had very inefficient factories located in some of the worst cities in America. Like Flint, Detroit, Chicago, Baltimore, Van Nuys, Calif. etc.

          When you had Porsche making 944s back in 1984, you had GM making Camaro and Firebird cars with glove compartment made out of cardboard. I remember my hatch sprung a leak and water trickled down into the rear glove compartment. The cardboard in the compartment was pulp and had to be taken out.

          Then the bad trans and overly cheap plastic parts.

          • Disqus-helpsGOVTbreaklaws&kill

            unions are the problem

    • JF1962

      I would agree with you, but what about cars made in Mexico. They aren’t any cheaper.

      • chrism12743

        Cost of globalization.

  • Disqus-helpsGOVTbreaklaws&kill

    ford won a medal from Hitler for building all the needed engines & tanks for Germany to kill Americans

    • Shadow Patriot
    • Fish Deep

      They only “killed Americans” in self-defense on their own soil. As the above story shows, “we” just couldn’t mind our own business.
      Hitler designed the VW Beetle in the thirties and had Porsche build it as a car that all Germans could afford. Ford was a hero to Hitler because he showed how to mass produce a car that anyone, not just the rich, could afford. The Germans built their own tanks. They invented rockets which is why the “Nazi” rocket scientists who built the V series came to America after the war and built NASA. All 120 of them.
      The Saturn V, designed by Werner Von Braun, is still NASA’s workhorse.

  • JF1962

    Cars are just way too expensive, and they lose their value quickly. I would love to get me a new 4×4 truck, but I just cant justify the cost.

    • Tim

      I agree, I’ve turned my attention to Government Surplus HMMWV’s. Military Hummers are awesome and the prices are around 9 to 10 grand, SOLD!

  • Gordo

    I was in automotive manufacturing engineering for many years before changing career paths. I saw it coming, cars are almost the only consumer product that continually raises in cost but the depreciation devastating unless you are rich. We have reached peak production now. and volumes will continue to go down. With owners only using their cars between 5-10% of the time, cars on demand will continue to be on the increase. The only areas immune will be rural areas.

  • Alleged Comment

    The affect of 8 years of the negro and Demoncraps more worried about putting a BOOT on your neck then running government or the economy about to hit us.

  • Barn Cat

    The profits aren’t real. Sub-prime auto loans are over a trillion dollars. They’ll sell the car to someone who isn’t going to pay and then declare a profit on it.

  • frank kociara

    well the greedy sob’s will just have to start fire saleing these overpriced pieces of crap.

  • Disqus-helpsGOVTbreaklaws&kill

    labor unions have ruined America

  • oldsgtjoe

    I can not afford to pay $40,000 or $50,000 for news truck,and my car and truck is 12 years old and they are paid for, we keep them up ,and when are vehicles need fixing we take them to auto mechanic shop, its lot cheaper then buying a new vehicles and paying big dollars and payment to a bank for 7 years!

  • Nephelim Hunter

    Boo hoo….they only profited 1.3 billion in the first quarter. Totally unacceptable for all the rich execs….they won’t hit their big annual bonuses at that rate…better lay off 20,000 people barely scraping by to afford the cost of living….but wait, at this rate, who will be left to buy all those highly profitable overpriced vehicles they keep telling us we all want? And more importantly, who will continue to fund our oversized government if they continue eliminating the middle class?

  • JoeAmerica

    According to numerous articles on autoworker wages in Mexico, the industry average wage is $2.90/hr in U.S. dollars. So why are the vehicles still so expensive?
    Greed.

  • Kenneth Trayer

    When the cheapest one is like 18,000$ What did they expect? I really like Ford but I can’t justify 25000$ for an F150, and the #1-2 choice, Excursion or a King Ranch, that’s like small an investment home.

  • Disqus-helpsGOVTbreaklaws&kill

    labor union costs are added in to the purchase price of the ford.