Ford in Talks with UAW About Adding 10,000 Jobs, Move Fusion Production from Mexico to the U.S.

| |

The Ford group is currently negotiating a four-year contract with the UAW (United Auto Workers) union, which could add as many as 10,000 new jobs at its American factories.

Citing sources familiar with the issue, Bloomberg News reported that the job-discussion is part of the negotiations between the two parties that also include wages, benefits and employment status in the new contract.

Among the moves being considered, is shifting production of the Ford Fusion mid-size sedan from Mexico to the U.S.A., which could help in the creation of nearly 4,000 new jobs alone.

Both Ford and the UAW, however, still have some issues to resolve. For example, Ford, which in the first half of the year recorded a $4.95 USD billion profit, seeks to lower wages in the new contract. It is reported that new employees are paid about half as much as senior workers.

UAW co-chairman Joel Goddard said the deal could be finalized as early as this week.

“Jobs have been a central goal of the union in this round of negotiations”, stated labor professor at the University of Berkeley, Harley Shaiken. “Ford, which is the most advanced in its recovery, is a natural for this kind of job.”

Relocating production of the Fusion will obviously play a great part in achieving an agreement with the UAW. The mid-size sedan is Ford’s best-selling car in the US, with 219,219 units delivered in 2010, while the company has sold 168,929 from January until August this year, a substantial increase of 16% compared to the same period last year.

Story Sources: Bloomberg News