Ford Cutting All North American Production For The Rest of '08

Source: AP

Created: 5/22/2008 9:15:26 AM
Updated: 5/22/2008 9:23:02 AM


Ford Motor Company is cutting North American production for rest of year.

Ford says it will cut production by 15 percent in the second quarter, 15 to 20 percent in the third quarter and 2 to 8 percent in the fourth quarter.



Read more: http://www.wgrz.com/sports/sports_article.aspx?storyid=58097&provider=gnews

I guess 15-20% doesn't look as bad when compared to a 100% cut.

in Kentucky -- I immediately thought of him.

The news isn't good, but not as bad as the original post makes it sound.

All it cars are made somewhere else?

My neighbor works for the Ford plant in Sterling Heights, and he told me he probably installed the transmission in my 05 Focus.

My 92 Probe was assembled in Flat Rock.

Not good.

What Recession?

"India eyes 25 million automotive jobs"

http://news.bbc.co.uk/2/hi/business/6583203.stm

And in other Ford news:

"Ford plans $500m Indian expansion"

http://news.moneycentral.msn.com/provider/providerarticle.aspx?feed=FT&date=20080108&id=8006146

Not having anything against India at all, as I have good friends there. But it is good to know what Ford is doing with its other hand, so to speak.

Send the Ceo and suits over there to live, etc.

India has some fantastic cities, and wonderful people.

But the thing that gets me is how they have been replacing jobs here for so many years with the "necessary efficiencies" of automation and then with outsourcing, and then we find that they are building huge bustling factories in India humming with workers and activity just like the factories we had here in the 50's.

25 million workers is probably a terrible over-estimate, considering the rising price of crude and other resources, but half of that is still 12.5 million....when was the last time an industry here added even 1 million workers?

Automaker points to recent drop in demand for pickups and SUVs - alters production mix and pulls back target to return to black in North America.

NEW YORK (CNNMoney.com) -- Ford Motor Co. cited record-high gas prices in announcing Thursday that it will cut production of pickups and SUVs and likely miss its long-held goal of returning its core North American auto unit to profitability next year.

The company said it now hopes to break even companywide next year as overseas profits balance out losses at home. It also announced it would slash production of pickups and SUVs due to changing consumer demand.

"We saw a real change in the industry demand in pickups and SUV in the first two weeks of May," said Ford Chief Executive Alan Mulally. "It seems to us we reached a tipping point."

Ford now believes that the change in vehicle choice is structural, not cyclical, Mulally said.

Mulally said the company in July will detail longer-term changes, including personnel reductions. Ford had already offered buyouts and early retirement to all of its U.S. hourly employees.

More at link: http://money.cnn.com/2008/05/22/news/companies/ford/index.htm?postversion=2008052210

year to run this company would have see something like this coming. But gee that would have required some forethought. I'm sure he wasn't being paid for THAT.

Kind of like how instead of providing more of what people were actually wanting to buy, they spent millions trying to market the crap they couldn't sell.

That's some really smart management there.

you have to hit them over the head with a sledge hammer, things must be really bad. Buckle up!

to the gallon, like they SHOULD be, I don't think these layoffs would be an issue!

When Ford started bringing in automation, one of its execs invited UAW leader Walter Reuther to see the new robots.

As he showed Reuther around, the exec talked about the future of Ford: "You know, Walter, not a single one of these robots will ever call in sick. Or join the UAW and go out on strike."

Reuther replied: "And not a single one of those robots will ever buy a new Ford, either."

I found that anecdote in the huge company history that Ford commissioned in 2003, to celebrate its centennial.