Ford said Thursday it will invest $3.7 billion and create more than 6,200 new union jobs in Michigan, Ohio and Missouri as part of the automaker’s plan to sell 2 million electric vehicles a year worldwide by the end of 2026.
The new investment will be used to hire union workers at factories in Michigan, Ohio, and Kansas, provide medical care to new hourly workers, and improve working conditions at these plants. Notably, Ford said it invested in hiring a year ahead of 2023 contract negotiations with the Amalgamated Auto Workers Union.
Much of the investment will go to Ford’s electric vehicle factories, including the F-150 Lightning pickup truck and a new commercial EV vehicle scheduled to begin production in the middle of the decade. However, Ford said it is also investing in plants that assemble its gas-powered vehicles and plans to use some of the funds to produce the new Ranger pickup and Mustang coupe.
As part of the hiring plan, Ford will transfer nearly 3,000 temporary employees to full-time positions. The automaker said it is also investing $1 billion over five years to improve working conditions at its U.S. plants, including better lighting in parking lots, charging electric vehicles and access to healthier food.
The huge investment came just months after Ford announced a restructuring plan that would split the company into two divisions. Ford Blue will focus on existing and future combustion-powered vehicles such as the Mustang, F-150 and Bronco, while Ford Model e will oversee the development and production of the company’s electric vehicles and vehicle connectivity services.
The bulk of the investment, about $2 billion, will be spread across three assembly plants in Michigan. The Rouge Electric Vehicle Center in Dearborn will receive funds to increase production of F-150 Lightning electric trucks to 150,000 a year. The money will also be invested in the production of an all-new Ranger pickup truck at the Wayne Michigan assembly plant and an all-new Mustang coupe at the Flat Rock assembly plant.
Another $1.5 billion will go to hire 1,800 union workers at an Ohio assembly plant to assemble an all-new commercial EV vehicle starting in the middle of the decade, along with an additional 90 jobs and a $100 million investment between the Lima Engine and Sharonville Transmission plants .
The remaining $95 million will be used to fill 1,100 third-shift union jobs at an assembly plant in Kansas City, Missouri to increase production of the Transit and the all-new E-Transit electric van.
Credit: techcrunch.com /