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Buyouts posted at FRAP?
Posted 12 September 2018 - 11:34 AM
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Posted 12 September 2018 - 01:10 PM
Posted 18 September 2018 - 05:47 PM
Posted 23 September 2018 - 10:34 PM
It would be interesting if so. 50% at least, have 30+ years at FRAP.
Only 530 people have 30 plus years as of the end of August.(another 200 will hit 30 within a year) We've had over 450 people retire in the last 16 months. Half our plant is already second tier and temps.
Posted 23 September 2018 - 11:15 PM
No buyouts announced yet, but they are coming. We are probably going to one shift and they need to move as many people out as possible. Ford is scrambling to get their finances in order and cut every cost possible. They will probably cut all South American and European operations in the next 2 years to save money, but word from the Glass House is that Ford is burning through their available cash (around 25 Billion) so fast that trying to finance all the new models, electrics and autonomous models that are 2-3 years away might bankrupt them because of their enormous debt. The Ford family has all their wealth wrapped up in Ford stock, and with it falling under $10 a share, they are getting desperate. Market share is shrinking fast and will accelerate with all sedans going away within 18 months. Profits have been cut in half and it would only take 1 major recall or lawsuit to see profit cut by 75%. Ford has already spun off their electric and autonomous division into a new company, and getting to cut our pensions and contracts by going bankrupt and putting all their cash into the new company will soon look like a good option to them. The family controls the company and almost half of all stock, and they only care about themselves. We are getting dangerously close to 2007 territory again, and if you realize Ford's most profitable vehicle, the F-150 is consistently sold with up to $11,000 rebates to get them off the lots, all it would take is a small economic downturn and they couldn't move them with 15-20K rebates. The billions it would take (8-15) to stop production in South America & Europe, and drastically reduce it in China, coupled with low profit in the USA and retooling & development cost for new products in the next 2 years, and the cost of buying out all the employees would exceed all their cash reserves. They can't mortgage everything again like 10 years ago, and no one will give them enough credit to get by this time. The people in the Glass House are getting very worried and the media and Wall Street are noticing and starting to comment about the possibility of Ford going broke. This turnaround will take at least 2 years and we may run out of time and money before that. We will become a much smaller company in either case, with probably a third fewer workers within 3 years. I don't like our chances in the upcoming contract, the union will probably sell us out the worst they ever have!
Edited by deflep1, 23 September 2018 - 11:17 PM.
- ehaase likes this