Ford’s increased pressure on the United Auto Workers for concessions is effectively pitting plant against plant in a scramble to prove which one can produce the best quality cars at the lowest cost, reports the Detroit News. Ford has made it clear that the most efficient and flexible factories have the best chance to survive and win new work. At Ford’s F-150 plants in Dearborn and Kansas City, the union is warning employees they must find ways to cut costs before Ford will sign off on where it will build 2009 model F-150s. But the tactic could cause problems, according Harley Shaiken, a labor expert at the University of California-Berkeley. “That is precisely the kind of thing that could prove counterproductive,” he said. “You’ve got a work force that’s very productive, but also very resistant to whipsawing.” Bruce Belzowski, an analyst at the University of Michigan agrees. “That’s a dangerous game for companies to play,” he said. “They’re playing hardball because they can make the call about which plants they open and which they don’t.”
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08/29, 1:05 PM
posted by:
Jellyhead
Lets see, only one plant can ever win, how good is that for morale and long term product quality? Ford this scheme just creates losers among your employees
08/29, 1:20 PM
posted by:
blue-coupe
I work for a major manufacturer with both union & non-union plants and we are always doing this kind of thing. It is business as usual.
Just yesterday I sat in a meeting discussing how we are going to cover next years expected gas price increase. The answer ‘improve productivity’. same answer as last year. Generally, we have gotten what we needed.
It’s gruelling to have to constantly review the same procedures year-after-year, but otherwise we would be left uncompetitive……..
08/29, 1:25 PM
posted by:
simpleton
Well its time that they suck it up and start working for the man like the rest of us. Its not like it was 5 years ago, its time to get real.
08/29, 3:49 PM
posted by:
Ricardo Head
Welcome to the real world, UAW. The rest of us don’t get 95% of our pay for sitting on our duffs if layed off, the rest of us are constantly challenged under the threat of layoff to cut costs and improve ops simultaneaously, and the rest of us need to be innovative on the job or lose it.
.
As to that dip**** Bruce Belzoski at U of Michigan, well …. “those who can’t, teach.” If he was such a genius he’d be in the real world earning a real living instead of bilking of the public dole in a protected job lecturing to a company on the brink.
08/29, 3:49 PM
posted by:
Jay
instead of trying to get the workers to do better… how about you make better cars too? That sounds like a GREAT idea!
08/29, 3:50 PM
posted by:
Gmhater1
instead of trying to get the workers to do better… how about you make better cars too? That sounds like a GREAT idea!
08/29, 5:11 PM
posted by:
Andrew
Ford needs to spend more money developing decent cars, for sure. They also need to stop forgetting about formerly succesful models (read: Taurus, Focus, Explorer… all were truly great when they first came out… and then Ford forgot to continue making them competitive). Same will happen with the Five Hundred and Fusion, no doubt.
08/29, 6:43 PM
posted by:
Robert
I think this article mischaracterizes what Ford is doing. I don’t think this is a tactic to make the workers stressed – I think it’s a tactic to make the UAW stressed. The UAW has been so reluctant to let Ford and GM restructure their assembly lines to be flexible and more efficient. Now, partly to blame are the pathetic management that both companies have suffered from, but still, for the UAW, the writing has been on the wall with 300-point font since 2001. It’s time to shape up or shutter up.
Both companies could devote far more money to product development if it weren’t for their unimagineable labor costs, probably 30% are just dead-weight.
Toyota and Honda have efficient and flexible plants where workers often are trained at four or five stations, the workforce is more hierarchical with cells and teams reporting upwards and a focus on quality instead of quantity production (Toyota recently lacking in this area, however).
I hope the tactic works, because it will do Ford no good to keep inflexible unions running inefficient factories with reduced capacity. Cut the ones that cannot and/or will not change.
08/30, 2:36 AM
posted by:
Manster
Ford Ford Ford……
tsk tsk tsk……
Look, just make the company privately owned (buy back your shares). Then you will be able to regroup, ditch the heavy handed power players (unions, etc) and get back to designing a great car, build it and sell it at a great price……
The buyers will come back, and to the naysayers you can say “up yours!”
08/30, 9:55 AM
posted by:
Veda
Exactly Manster, it’s time to do what’s right which means anything that’s still legal for profit. It’s survival mode for them…
08/30, 1:44 PM
posted by:
Piablo
Personally, i would like them to see which factory plays out to be the best….. then close them BOTH.
Kidding of course. Like most of us level headed individuals, I would love nothing more than seeing the UAW irradicated. Unfortunately, not as easy as that. I have been doing a wee bit of research after the “going private” rumor. Basically, comes down to state laws and the contracts that are in place. Ford can close down a factory, no more UAW there. But contracts state if Ford chooses to build that product elsewhere or in the future, they must hire union workers. It is going to take an act of God to remove this establishment.
Going private will enable Ford to better negotiate union contracts however. Without shareholders to answer to, Ford can take thier time and really strong arm the UAW into an agreement that less resembles some sort of social welfare program.
08/30, 10:57 PM
posted by:
Veda
The whole UAW thing is dead weight or a disease that needs to be removed asap. It puts them at a real competitive disadvantage with the other companies.