Detroit's standard bearer, Ford Motor Company, is uniquely poised to return to its prosperous days of yore. When its US competitors pulled their empty pockets out and accepted TARP funds, Ford plugged ahead without resorting to bankruptcy court thanks to smart business decisions before the economy went pear shaped. Motor Trend bestowed the Car of the Year award to Ford for the 2010 Fusion, and Ford reported its first annual profit in four years of 2.7 billion and predicted sales of 12.5 million for 2010. In the wake of Toyota's sticky gas pedal problem, the once leader is looking a bit tarnished at a time when Ford is shooting to regain its position as the leader in the automotive industry. In fairness, Ford halted production from the same Chinese plant that delivered the faulty gas pedals to Toyota. While Chinese products appear cheap, their durability and safety are still in question.
Ford is slated to commence production of the Ford Explorer in a Chicago plant on Torrence Avenue. With the Explorer comes 1,200 new jobs and increased orders for the Chicago Heights stamping plant. Thanks to tax cuts in Illinois and sacrifices by UAW members, the Explorer was lured away from Louisville, KY, which will shift to manufacturing cars. The new workers's wages will be cut in half from regular wages--a move the UAW did not oppose. It doesn't appear that Ford workers objected. According to NBC Chicago, Debra Green, a Ford employee for ten years, greeted the news by exclaiming "my heart is racing...I’m really happy to have a job. I can't believe we're going to two shifts." Her sentiments were echoed by John Orlando, who interpreted the announcement as evidence that a position with Ford is more than a simple job: it's a legacy and long-term relationship. "I'd be happy for my kids to work here now and do like I did....Everyone wants to come back to Ford." During this period of economic uncertainty, as I noted in my Labor in 2010 post, workers and unions are eschewing a course that might threaten their employment and the future of production and recovery. It's awfully difficult for me to advocate for romanticized labor radicalism from my chair. Still, EFCA is an important step forward for the rights of unions to compete with companies on an equal stage.
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The supplier of Toyota and Ford gas pedals is an American supplier, based in Elkhart, Ind.
Ford halted production on trucks made in China.
If you click on the link above, you can read more about their production halt. Still, the gas pedal problem is traced to mechanical or production deficiencies in China, not Elkhardt.
Thanks for commenting. My understanding is that Ford halted the production of vans with Jiangling Motors. According to the NYT, it was actually a Canadian mfger. CTS is based in Elkhart, though. http://www.nytimes.com/2010/01/30/business/30toyota.html?scp=2&sq=toyota&st=cse
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