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Ford Announces Layoffs Amid Strike

Ford Motor Co. on Wednesday announced it will furlough an additional 450 workers this week because of the auto strike.

The company said the firings will occur at two Michigan facilities: Livonia Transmission and Sterling Axle.

Ford said the reason is the United Auto Workers strike. According to reports, the interconnected nature of Ford’s supply chain makes the UAW’s targeted strike strategy especially effective. Workers at the two plants affected by the layoffs make parts for Ford’s Chicago Assembly Plant, which has been hit by the UAW walkout.

The fired workers will not qualify for unemployment benefits but will receive strike assistance from the UAW.

The layoffs bring Ford’s number of fired workers since the start of the strike up to 1,330. Ford previously announced layoffs at other Midwest facilities that make parts for struck factories in Michigan, Ohio and Chicago.

Workers at the other two targeted automakers, General Motors and Jeep manufacturer Stellantis, have seen layoffs for similar reasons.

The firings come after a substantial offer from Ford this week. The proposal delivered on key UAW demands, including the elimination of employee tiers.

However, the two parties remain far apart on other demands such as the reintroduction of pension plans, a 40% pay raise and the introduction of a four-day workweek.

UAW President Shawn Fain is set to inform union members Friday about the state of negotiations with the big three automakers. If union leadership says not enough progress has occurred, another strike expansion could be in the works.

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