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Automotive Industry
The strike is said to cost Ford about $1.09 m a day.
Production has stopped at Ford's factory in Saarlouis, Germany, after a strike at neighboring suppliers disrupted parts deliveries.
The strike is costing Ford about €1 m ($1.09 m) a day, the head of the factory's works council, Benjamin Gruschka, told Automotive News Europe sister publication Automobilwoche.
About 500 IG Metall members at Magna Stanztechnik, Benteler, Tenneco, Rhenus LMS and Lear went on an indefinite strike on Friday, 8 March 2024, forcing the automaker to stop production of the plant's only model, the Focus compact car.
The strike impacted deliveries of engines/transmission parts, axles, body parts, wiring systems and exhaust systems.
Gruschka said production could be resumed "quite quickly" when the strike ends.
A Ford spokesperson told Automobilwoche on Monday, 11 March 2024, that the production stoppage is continuing. The spokesperson did not comment on the financial consequences.
Ford is ending production of the Focus at the plant next year (2025) with the loss of 3,500 jobs as the automaker transitions to selling only battery-electric cars in Europe. The factory lost out to Ford's plant in Valencia, Spain, which will build the automaker's next-generation EVs.
Ford last month (February 2024) agreed a deal with its Saarlous employees including the continued employment of 1,000 workers until the end of 2032, severance payments and bonuses, the formation of a transfer company and qualification programs.
Workers at the suppliers are asking for the same "attractive and well-funded" deal that Ford's employees are getting.
According to IG Metall, the employees in the supplier companies are on average over 50 years old and they fear that they will not be able to find alterantive employment.
Benteler said it has made offers and "significantly improved" them again during the first week of March 2024. "Unfortunately, we -- as well as other affected companies -- have not received any concessions from IG Metall," a Benteler spokesperson told Automobilwoche.
Ford is looking for an investor to take over its Saarlouis plant. Chinese automakers including BYD were interested but later backed out, according to reports.