Ford strikes deal to keep Fiesta production in Germany


Ford (F) says it will keep production of the Fiesta model in Germany despite the high labor costs in the nation.

The automaker gained some concessions from groups representing workers, including cutting back on working hours and reducing late shifts.

Ford estimates savings of $400M for the period from 2017 to 2021 from the new measures.

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Comments (2)
  • Tdot
    , contributor
    Comments (8449) | Send Message
     
    Pretty remarkable, considering that the article says the labor costs in Germany are €37 ($50) per hour, compared to about €26 ($35) in the US. One wonders what Ford pays the Mexicans to build Fiestas for the US market.
    10 Jun 2014, 10:39 AM Reply Like
  • rwbrown.bvf@gmail.com
    , contributor
    Comments (103) | Send Message
     
    Tdot, you're right on with that thought! As ole Ross( he who was all ears, remember that? I actually named one of our beagles, who WAS all ears, after
    him!) said, NAFTA means the "sound of jobs heading south". Of course he,
    like Teddy Roosevelt running as a Bull Moose, was the spoiler in the election.
    I think, as far as most of our trading partners know, Free Trade means we buy
    their stuff and they buy a token amount of our stuff. Thus, we have imported
    a LOT of stuff and exported our middle class. Of course, it's all good for the
    multinational corporations, who are persons just like the rest of us(according
    to the Supreme Court).
    10 Jun 2014, 03:45 PM Reply Like
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