Ford to close plants, lay off up to 30,000

Via AP/Yahoo:

DEARBORN, Mich. - Ford Motor Co., the nation's second-largest automaker, said Monday that it will cut 25,000 to 30,000 jobs and idle 14 facilities by 2012 as part of a restructuring designed to reverse a $1.6 billion loss last year in its North American operations.

The cuts represent 20 percent to 25 percent of Ford's North American work force of 122,000 people. Ford has approximately 87,000 hourly workers and 35,000 salaried workers in the region.

Bad news for the auto industry - especially with bad news coming from GM recently. Ford detailed the underlying reasons for the cuts:

The No. 2 U.S. automaker after General Motors Corp. has been hurt by falling sales of its profitable sport utility vehicles, growing health care and materials costs and labor contracts that have limited its ability to close plants and cut jobs. The United Auto Workers union will have to agree to some of the changes Ford wants to make.

In other words, high gas prices have hurt the SUV market, and the union has increased Ford's overhead and hampered it's ability to be competitive. Of course, the union is sensitive to Ford's situation and stands ready to assist:

"The impacted hourly and salaried workers find themselves facing uncertain futures because of senior management’s failure to halt Ford’s sliding market share."

Er - I said, the union stands ready to assist:

"Certainly, today’s announcement will only make the 2007 negotiations all the more difficult and all the more important."

EXCUSE ME - I SAID, READY TO ASSIST?

"The UAW-represented workers affected by today’s action are covered by the job security program and all other provisions and protections of the UAW-Ford National Agreement. Our union will rigorously enforce those programs."

Well. I just can't understand why anyone would outsource, can you?

Maybe UAW should consult with the UFCW - a few greased liberal palms, maybe an aggressive PR campaign, and who knows? Maybe some laws could be passed that would keep Ford in business and employed at current levels until the end of time - whether they ever sell another car or not.