Daily Management Review

Ford: We reached the limit of what we can offer the UAW union


The United Auto Workers (UAW) union has received all that Ford Motor Co. has to give, said Head of Ford Blue (internal combustion engine vehicle sector) Kumar Galhotra.

In accordance with the union's priorities, the firm is willing to reallocate resources previously included in its UAW offer; nevertheless, Galhotra stated that the additional expenses would have a detrimental effect on the company's capacity to operate and on its ability to make investments in areas like the production of electric vehicles.

"It is quite evident that we have reached our limit. We have worked really hard to get to this position. Going any further will hurt our ability to invest in the business in the way we need to," said the executive, quoted by CNBC.

He declined to discuss the specific contract parameters Ford is providing the union. 

The UAW revealed on Wednesday that 8,700 employees of Ford's largest plant, located in Louisville, Kentucky, had joined the walkout, which started in September. The three "Big Three" automakers' plants saw the start of the union's strike on September 15.

source: cnbc.com