Is Car Giant Ford Going Bankrupt?
Is Ford, one of the world’s leading car companies, going bankrupt? The company’s workers went on strike. Here are the details!
Ford, one of the world’s largest automakers, is currently struggling with some of its decisions. The company’s dispute with the United Auto Workers union has grown in recent months.
Ford’s CEO Jim Farley, who was protested for not accepting the union’s offer, made a statement.
50,000 workers went on strike!
In recent months, contract talks have been taking place between Ford negotiators and the United Auto Workers union. In these negotiations, the union demanded that workers’ salaries be increased to 300 thousand dollars.
However, Ford rejected this demand and argued that the amount demanded was even higher than the salaries of teachers and firefighters working in the country. Sean Fein, president of the United Auto Workers union, responded by citing the cost of living.
When Ford refused to accept the offer, 50,000 workers stopped production at the plant and went on strike. As Ford was the only major automaker in US history not to go bankrupt, the news severely damaged the company’s reputation.
“Instead of supporting our workers, you are asking us to choose bankruptcy,” saidFord CEO Jim Farley.
Farley said that if the United Auto Workers’ proposal had been in place since 2019, the company would have lost about $15 billion over four years instead of making about $30 billion in profit and “would have been bankrupt by now.”