At the factory meeting at Ford in Saarlouis on July 10
The closure contains important lessons for the working class beyond Ford and the automotive industry
Jobs and wages can only be defended if Ford workers join forces with their colleagues in other plants and companies—in independent rank-and-file action committees and against the IG Metall
The union and its works council representatives are the ones enforcing plant closures and mass redundancies—with early retirement
partial retirement and severance schemes or so-called “transfer companies.”
These were also part of the “social contract” that IG Metall presented to the 3,750 Ford employees in Saarland for approval in February
around 2,700 workers have signed at least preliminary agreements that regulate the conditions under which they will finally leave the plant
The 1,800 jobs at the 11 plants in the Ford supplier park will then also be destroyed
only 1,000 employees will remain at Ford itself; 1,050 workers have applied for these 1,000 jobs
What will happen to the surplus of 50 colleagues remains to be seen
Ford has announced that it will finance these 1,000 jobs until 2032
it is unclear to what extent this commitment will be honoured
The entire future of Ford in Europe is in question
plastics production for other Ford plants is to be continued
Saarlouis is the only Ford plant in the world to have bumper production (injection moulding) and Boron production (hot pressing)
The slimmed-down plant will be closed for good in 2032
This is because the pharmaceutical company Vetter will begin building a production facility on the current Ford plant site in 2026
which is expected to employ up to 2,000 people by 2030
It is therefore quite possible that Ford will finally withdraw from Saarland before 2032
Works Council Chairman Thal announced that all “colleagues have a future.” That is one of his many lies
he and IG Metall have destroyed the future of many thousands of Ford workers and their families
Given the experience of the last five years
it is time to take stock and draw the necessary conclusions
Ford has been closing entire plants in Europe
The works councils and trade unions have always done everything in their power to ensure that resistance to this has come to nothing
In the bidding war between the plants in Saarlouis and in Almussafes (Valencia
they played the two workforces off against each other and offered management huge wage concessions
the details of which have been kept secret to this day
When it was announced two years ago that the plant in Saarlouis was to be closed
the works council and trade union did everything they could to prevent a serious fight in defence of the plant and the jobs
The workforce was systematically demobilised to make the closure possible
Toothless protests in well-measured quantities served above all to deflect the anger of the workforce
IG Metall and the Saarland state government dictated that the workforce put all their hopes in an investor who supposedly wanted to take over the entire plant
Hectic preparations then began for the final announcement of the closure
the works council and IG Metall organised short protest strikes in mid-January 2024 in favour of a “social contract,” i.e.
The plant closure that has now been initiated and the destruction of thousands of jobs is the result of this set-up that the works council
Social Democratic Party (SPD) state government and company have been playing for almost three years
IG Metall and its works council reps were only able to push through the closure of the plant because they used mafia-like methods to suppress all opposition
The claim that there was no possibility of defending the plant and jobs was false from the outset
It was the position of the union apparatchiks who sit on the Ford supervisory board and—just like management—put profits above the rights and interests of the employees
which was formed on the initiative of the World Socialist Web Site (WSWS)
opposed this conspiracy from the outset and presented a perspective in defence of the plant
A new political orientation was therefore necessary to resist the blackmail by management and the works council; one based on the common interests of all workers at all sites and opposed to the logic of the capitalist profit system.
It is already clear that Ford’s e-mobility targets will not be achieved, just like those of other major manufacturers. The main European and US manufacturers, with the exception of Tesla, are now lagging behind in terms of technology and will find it difficult to catch up.
In an interview with the Frankfurter Rundschau, sociologist Klaus Dörre reports rather casually about a conversation with Ford works council members who told him: “We had a BYD [EV] taken apart and had to realise that we don’t understand the technology.”
This is why the Asian manufacturers can also offer cheaper vehicles. The electric Ford Explorer, whose production has just started in Cologne, has a base price of €53,500. The basic version of the Fiesta, production of which was discontinued there last summer, costs just over €20,000. The cheapest Focus, which will roll off the production line in Saarlouis next year, costs €32,000 without extras.
As a result, there is now a real danger that Ford will withdraw completely from Europe. In Cologne, several thousand jobs are to be lost again, in administration, development and also in production.
Ford workers in Cologne, but also in Almussafes, the UK, Romania and Turkey, must draw the necessary conclusions from the betrayal of their colleagues in Saarlouis.
Every job must be defended unconditionally.
The basis of the struggle must be what workers need to live and not what the capitalists think they can get away with. The myth of a lack of money must be rejected. Hundreds of billions are being spent on armaments, the war in Ukraine and the genocide in Gaza; they must be invested in jobs, wages and social infrastructure.
A common struggle in defence of all jobs is necessary and must no longer be postponed.
Draw the lessons from the Ford-Saarlouis experience and send a WhatsApp message to the following number: +491633378340 and fill in the form below.
saying they benefit from unfair government subsidies.Marcus Wassenberg
managing director at Ford's German division
singling out Germany for its high labour and energy costs.All the German job cuts would be at Ford's main site in Cologne and account for 24% of the factory's workforce.Reporting by Nick Carey in London and Tom Kaeckenhoff in Cologne; Additional reporting by Christoph Steitz in Frankfurt and Nora Eckert in Detroit; Editing by Mark Potter
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The Chairman of the General Works Council of Ford in Germany
has warned of the insolvency of Ford’s German subsidiary and is thus preparing the workforce for the gradual closure of the main plant in Cologne
The background to the warning by Gruschka and the IG Metall union is the cancellation of an agreement with the US parent company that had been in place since 2006 to compensate for losses incurred by its subsidiary in Europe
the company headquarters has announced a final financial support for Ford Europe totalling €4.4 billion
explained that Ford would use the “new capital” to promote the transformation of its business in Europe and strengthen its “competitiveness with a new product range.” However
but rather new attacks: “To be successful in Europe in the long term
we must continue to simplify our structures
he called on the European Union and the German government to do more to accelerate the transition to electric vehicles and reduce costs in order to compete with Chinese rivals
The works council and IG Metall will support the “tough decisions,” as they did with the closure of the Ford plant in Saarlouis and enforce them against the workforce
The works council is currently negotiating with the company on the conclusion of a so-called “social collective agreement,” i.e
Ford plans to cut 4,000 jobs in Europe by 2027
with 2,900 of them at the Cologne plant alone
According to broadcaster Westdeutscher Rundfunk
the model for this social collective agreement “is likely to be the plant closure in Saarlouis
where the last car will roll off the production line at the end of the year and it was possible to negotiate high severance payments for some of the employees.”
The Ford workforce in Cologne should be alarmed
The start of negotiations on a social collective agreement in Saarlouis signalled the final end for the plant
The broadcaster says that there are no signs of hope that production will continue in Cologne
“Only marginal numbers of the current expensive and large electric cars are being sold
So what exactly is the works council in Cologne currently negotiating
head of the shop stewards’ committee at the Ford plant in Niehl
called the cancellation of the letter of intent a “very dirty trick.” The plan was to “put pressure on the works council in the worst possible way to get them to agree to the planned change in operations.”
There is much to suggest that the IG Metall and its works council reps are already negotiating the closure or at least partial closure of the Cologne plant
The works council will claim that the operational change concerns the 2,900 jobs that will be cut in Cologne
But is this the “operational change” that Lüdke is talking about
Industrial relations law describes various measures that
count as a change in operations: the “reduction and closure [or relocation] of the entire operation or significant parts of the operation,” the “merger with other operations or the splitting of operations,” “fundamental changes to the organisation of the operation
the purpose of the operation or the operating facilities” and the “introduction of fundamentally new working methods and production processes.”
In any case—as can be seen from the statements made by the union representatives—Ford wants to end the exclusion of compulsory redundancies
the company would now expose the Cologne site to an acute risk of insolvency
according to the union,” says Westdeutscher Rundfunk
The exclusion of “compulsory redundancies” is being used by IG Metall to push through the biggest attacks
the union used this argument to agree the destruction of 35,000 jobs—more than one in four—and a reduction in real wages of up to 20 percent
Gruschka also hints at similar and even greater attacks
In an interview with industry weekly Automobilwoche
he says that the withdrawal of the letter of intent means that “the Ford Motor Company is withdrawing the insolvency protection of its German subsidiary from the parent company.” He told the press that in view of the low sales figures for electric cars produced in Cologne
the question was on the table as to how bills would be paid in future if the US parent company did not guarantee them
insolvency and the loss of more than ten thousand jobs would be imminent
The works council planned to inform the workforce at a factory meeting Wednesday and has called for a protest meeting outside the Ford premises on Saturday
The works council is just as unwilling to defend jobs in Cologne as it is in Saarlouis
It sees its role as implementing the attacks demanded by the company
The IG Metall representatives around Gruschka are already positioning themselves to prevent effective resistance
which can only be successful if conducted internationally
The closure of the plant in Saarlouis was achieved not least by pitting workers there against those in Almussafes (Valencia) in Spain
9,000 jobs at Ford and its suppliers have been destroyed; in Almussafes
fewer than 3,000 jobs remain out of more than 9,300
we wrote: “While the IG Metall was organising the closure of the Ford plant in Saarlouis
it kept the workforce in Cologne quiet with the promise that the investment of two billion euros in the Cologne plant and the switch to pure e-car production would secure their future
Now that the plant in Saarlouis has largely been shut down
This is why the head of the General Works Council
is now trying to divide Ford employees in Germany from the European workforce
It is a disadvantage for the German Ford-Werke GmbH that the weak sales of all Ford passenger cars in Europe are booked via its balance sheet
while the profitable commercial vehicle business—Ford has been the market leader in Europe here for years—is handled via the books of Ford’s British subsidiary
likens the German Ford plants in this constellation to a “bad bank.” The “end of the comprehensive guarantee for the German Ford organisation could lead to a concentration of Ford’s loss-making activities in Europe in German Ford Werke GmbH.” This would be similar to the concept of a bad bank
in which all the risky and poorly performing business units are bundled together in one company in order to protect the entire group from the insolvency risk of a subsidiary
Romanian or Turkish workers against each other
Ford hopes to be able to impose the consequences of trade war on the workforce
The all-out economic war that President Donald Trump is escalating is leading to huge attacks on workers all over the world, including Europe and in the US itself. It is being fought on the backs of workers. Trade war will inevitably lead to a shooting war if the international working class does not intervene. That is why the next German government is preparing an armaments programme costing billions
IG Metall and its works council reps are lining up behind “their” government as well as “their” corporations on this issue
War and massive job destruction are directly linked
it is necessary to organise independently—from IG Metall and its works councils as well as from all capitalist parties and their appendages that in one way or another support the insane policy of rearmament and war
Send a Whatsapp message to the following number: +491633378340 and fill in the form below to take action now.
The expected tariff cost is significantly lower than the $4 billion to $5 billion crosstown rival General Motors estimates, which Ford attributes to its higher mix of U.S.-built vehicles.
Ford Spain has announced a new Redundancy Scheme (ERE) at its Almussafes plant in Valencia to cut 1,622 jobs
Ford has collaborated with the social-democratic General Union of Workers (UGT) to carry out four redundancy schemes at Almussafes
These are the consequences of the bidding war initiated by Ford management in 2021 between the Almussafes plant and the Saarlouis plant in Germany to determine which would produce new electric cars and continue operations beyond 2025
The IG Metall and UGT bureaucracies both pressed workers to accept cuts to jobs
the World Socialist Web Site and the Ford Action Committee of rank-and-file workers in Saarlouis explained that the bureaucracies intended for this fratricidal competition to end in plant closures and mass job losses
German and Spanish union officials pitted Saarlouis and Almussafes workers against each other
The WSWS noted in December 2021: “The concessions extorted in this way are then supposedly intended to ‘secure the site.’ But so far
such concessions have only paved the road to plant closures.”
The UGT bureaucracy responded to the WSWS’ call to fight back independently from the union bureaucracy with a video on January 24
It stated: “During this last season you will have heard a lot of news about the situation and future of our factory
opinions and doubts about our ability to negotiate good agreements
and some out of touch with reality [in reference to the WSWS].”
The greatest promoters of fake news were in fact the UGT and IG Metall
but worked with management to close plants
whilst enforcing salary cuts and precarious contracts
the final closure of the Saarlouis plant was confirmed
leaving only 1,000 workers of the original 7,000 by the end of 2025
1,500 jobs in supporting industries will be lost
Ford Germany announced a new cut; several thousand jobs are at stake
services and development center located in Cologne-Merkenich
Having worked closely with IG Metall to cut jobs
is now proceeding with mass layoffs in the Almussafes plant in Valencia
despite it “winning” the bidding competition
The company also reneged on its promise to develop an electric vehicle by 2027
Ford now says that only a hybrid model will be developed from that year onwards
UGT stated that “despite the challenges we still have to overcome
and considering the uncertainty we’ve faced in recent months
today we can say we bring very good news.” This “good news” translated into the announcement of 1,622 layoffs
have raised the alarm that even this contract may not happen
Several of them have pointed out that by now
Ford should have sent them Requests for Quotation (RFQ) for the production of parts and machinery needed for the new hybrid vehicle
and there’s nothing.” Another said: “People are scared
All we know is that we’re in for a tough time.”
Ford’s latest redundancy scheme again exposes the UGT’s fraudulent promise that working with management to cut salaries would preserve jobs
UGT is now accepting job losses without even a token protest or a strike
their only proposal was to carry out job cuts with the same conditions as the previous ones
via early retirement and voluntary redundancies
UGT claims that improving severance pay or obtaining early retirement will solve workers’ problems are lies
What is being proposed is a devastating assault on the industrial and social fabric of Valencia province
But UGT Ford spokesman Carlos Faubel is proposing “social peace.” Last week he said that from now on
in negotiations and in the possibilities of solving this in a positive way for everyone.” He added
“we are convinced the company will have no problem in showing its availability and the role it plays
so all this comes to fruition and we maintain social peace
and the vehicle planned for 2027 is a success.”
which workers in Ford and other industries have seen over and over again
management said it had replied to UGT’s request to re-hire 1,000 of those laid off
when the production of the new vehicle might begin
Ford’s redundancy plan reveals critical lessons to be assimilated by workers in Ford Valencia and elsewhere
tried to divide workers along national lines
suppress the class struggle and imposing management’s diktat
Ford Valencia and UGT acted in Almussafes just as IG Metall and Ford Germany acted in Saarlouis
They facilitated layoffs by deceiving workers to block strikes and keep production running until the plant closure
which has happened in Saarlouis and increasingly threatens in Almussafes
There is no nationalist perspective to win such struggles
Meanwhile the unions tie workers to a national framework
then pit workers in one country against another to offer the most “competitive” conditions for the automakers
Mass struggles have erupted across the auto industry in Europe and North America over the past two years
but the unions worked together to keep contract struggles divided along national lines
the Spanish bourgeoisie relies on pseudo-left parties like Sumar to subordinate workers to a nationalist
Deputy Prime Minister and Labor Minister Yolanda Díaz, who recently resigned as Sumar’s leader after its debacle in the European elections
issued a brief statement: “We are witnessing today an ERE [Redundancy Plan] at Ford
by a company that has significant profits.” However
she quickly washed her hands of the situation
cynically claiming this “is not within the competency of the Ministry of Labor.”
Díaz bears direct political responsibility for what is happening. In 2020, she was appointed Labor Minister. Her flagship measure was a labor reform continuing the most reactionary elements of the one approved in 2012 by the right-wing Popular Party
This reform allows companies like Ford to impose layoffs through EREs without incurring losses or requiring authorization from the Labor Ministry
Spain’s PSOE-Sumar government has also aggressively lobbied to join the US-led trade war against Chinese exports of electrical vehicles (EVs). These tariffs could go as high as 48 percent. It exposes Sumar’s support for the US-EU policy aiming to strangle and subjugate China, if necessary through war.
Workers at Ford Almussafes cannot tie their future to pseudo-lefts like Díaz or the UGT bureaucracy. Time is running out to prevent the closure of the Almussafes plant, as happened in Saarlouis.
To prevent this, workers must organize across national borders, independently and against their works councils, forming rank-and-file committees democratically controlled by the workers themselves. The World Socialist Web Site urges workers in Valencia to oppose the UGT’s treachery and build the International Workers Alliance of Rank-and-File Committees (IWA-RFC) to organize the fightback against Ford.
, opens new tab was one of 15 investors interested in taking over the Ford site in Saarlouis after it stops producing its current model
Writing by Miranda Murray; editing by Matthias Williams
the works council and IG Metall union invited the remaining 3,750 employees at the soon-to-close Ford Saarlouis plant to a factory meeting with only one item on the agenda: the vote on a so-called “social contract” the union bureaucracy had negotiated
Far from preventing the closure of the plant
the agreement sanctions the shutdown of the factory
which has been a critical source of employment in the southwest German region
At the time Ford announced the closure of the plant
more than 6,000 employees worked at the Saarlouis plant and adjacent supplier companies
The agreement chiefly involves redundacy packages
along with hollow promises that some workers will remain employed in auxillary positions after the factory stops car production
titled “Saarlouis must live!—Gigantic approval of 93.28 percent.” Union officials
“Our fight over the past months and years has paid off.”
There is little doubt that the suppression of any strike action to stop the closure of the plant has “paid off” well for union and works council officials
Auto production will be phased out by the end of November 2025 and some 5,000 jobs will be lost
Ford is only “guaranteeing” 1,000 jobs through 2032
the result of the “fight” by the works council and IG Metall is that Ford Saarlouis is dead
the World Socialist Web Site and the Ford Action Committee
warned that this would be the outcome of the bidding war between IG Metall and the General Union of Workers (UGT) over where Ford would locate electric vehicle production
The union bureaucracies played off workers in Saarlouis and Almussafes
against each other and offered management huge wage concessions
the details of which have been concealed to this day
The Ford Action Committee explained that jobs would not be defended by IG Metall and its works council but only through a rank-and-file rebellion against the bureaucrats that stand on the side of the corporation
After Ford announced that Saarlouis would be closed
the works council and IG Metall systematically demobilised the workforce to make the closure possible
sought to placate them and occasionally ordered them to the gates for toothless protests in limited numbers to allow workers to blow off steam
the IG Metall and Saarland state executive strung the workforce along with promises of an “investor” who supposedly wanted to take over the entire plant
Everyone involved kept quiet about who the supposed investor was
broadcaster Saarländischer Rundfunk has revealed that the Chinese state-owned company Chery Automobile was the major investor
Chery officials have not denied the report
the company and the works council announced that the secretive investor had pulled out
with Ford Germany boss Martin Sander saying talks collapsed after an “in-depth feasibility study and intensive negotiations,” involving the Saarland state government
In the run-up to the final closure announcement
the works council and IG Metall organised short strikes in mid-January
ostensibly to improve the terms of the “social contract.” In reality
the phony strikes were the final nail in the coffin
The closure of the historic factory is the result of the rigged game the works council
Social Democratic (SPD) state government and company officials have played against rank-and-file workers for over two years
To ensure the ratification of their “social contract,” these forces sought to deceive workers by holding a “strike ballot.” But the only alternatives were an indefinite strike
which workers knew the works council and union would sabotage
or the acceptance of a deal whose details were concealed from workers
union officials declared that 75 percent of the workforce would have to vote against it for the proposal to be defeated
The works council and IG Metall were reportedly unsure if this shotgun vote would work
Then suddenly they announced that it had been approved by over 93 percent of the workforce
Most workers could not believe the official results
But IG Metall has made it impossible to check the validity of the vote
There was no list of those authorised to vote to compare with the actual votes cast
Anyone with an authorisation notice issued by the IG Metall and sent by post was allowed to vote
There was no rank-and-file oversight to determine if votes were valid or if someone voted multiple times
The ballot boxes were not publicly checked beforehand
Only officials from the works council knew what was in them
Workers have long accused IG Metall and works council officials of vote fraud in internal elections and contract votes
The large “yes” vote last Thursday is not particularly different from the last works council election results
votes in the Stalinist former East Germany
where the hated ruling party always received an overwhelming majority
Even if a majority of workers voted for the deal
it was not an endorsement of the IG Metall and its rotten deal
After two years of constant fears over their fate
it is possible a majority of workers reluctantly voted for the deal to “end the horror” rather than prolong it
especially since IG Metall and works council officials demonstrated they would do nothing to stop the plant closure
Workers reported that the atmosphere at the factory meeting was like a funeral
They felt forced—by the trade union and works council—to rubber-stamp their own job losses
And they did so without knowing exactly what they were voting on
Workers will only find out what the specific individual consequences will be for them later this month
They will either receive a redundancy offer or be told if they are being considered for one of the remaining 1,000 jobs after 2025
Not many more than these jobs will be created in the long term
union and SPD talk about “replacement jobs” and new investors
This became clear immediately after the result of the vote was announced
State Minister of Economic Affairs Jürgen Barke immediately presented journalists with grand plans for the Ford plant and the entire 120-hectare site with its huge halls and areas
it was clear these were just castles in the air
a 10-hectare “winter car park” at the plant facility is supposed to be redeveloped
cars produced in winter have been parked there before being delivered to dealers
From 2026 on—by which time the plant will already be closed—a further 15 hectares are to be redeveloped and built on
The aim is to attract smaller companies with 100 to 300 employees each
it remains to be seen how many companies will actually settle there
letters of intent have been received from some companies
their names are not being mentioned nor is there any information of the wages and conditions workers will face
But one thing is clear: in 2026—apart from the site where Ford is financing 1,000 jobs—tens of hectares of the 120-hectare site will lie empty
Only one-fifth—25 hectares in total—will be “redeveloped.” The supposed replacement jobs will be a long time coming—if they come at all
SPD Minister Barke was just as euphoric as IG Metall and works council chairman Thal
the social contract was “a liberating blow,” Barke claimed
Fundamental lessons must be learned from the experiences of the last two years, both at Ford and in the automotive industry. Before the vote, the WSWS made it clear: “There is no individual way out of the crisis. A common struggle in defence of all jobs is necessary and can no longer be postponed. That is why the establishment of the independent action committee is so important.”
The redundancies and plant closure plans at Ford are just the beginning, the article noted. “A job massacre is unfolding in the auto industry the likes of which the sector has not seen since the Second World War.” Major class struggles were inevitable, “which will go far beyond the current warning strikes and break through the control of the trade union apparatus.”
Workers at Bosch, Continental, ZF, BASF and many other companies are facing an escalating wave of job cuts, along with workers across the world, and a unified fight is necessary. But this fight must be organized independently of and in opposition to the works council reps and trade union bureaucrats, and coordinated across borders through the expansion of the International Workers Alliance of Rank-and-File Committees (IWA-RFC).
Workers at Ford, the auto industry and beyond should take concrete action to set up rank-and-file action committees. To contact the Ford Action Committee, send a WhatsApp message to the following number: +491633378340 or fill out the following form!
Friederike Heine; Writing by Matthias Williams; Editing by Friederike Heine
Autos correspondent in Germany, covering the industry's transition to electric vehicles. Previously reported on the impact of the COVID-19 pandemic on the retail sector in South Asia, China and Europe, and wider general news. Formerly at YouGov and Economy, a charity working to produce accessible economics coverage.
IG Metall union officials and works council members at the Ford Saarlouis industrial park organised another decisive step towards the closure of the manufacturing site in western Germany
They blackmailed the workforce of the supplier companies into agreeing to so-called social collective agreements
and IG Metall Völklingen set the course for this in February
With the acceptance of the “social” collective agreement for the Ford plant in Saarlouis
it was clear that the approximately 1,800 employees of the 11 plants in the Ford Industrial Supplier Park
Lear and Rhenus were compelled to agree to the sell-off by a large majority
the social collective agreement had already been agreed two weeks earlier
IG Metall writes: “Those affected have recognised that the companies were not willing to relocate jobs and replacement products to Saarlouis.” That is nonsense
Those affected have known for at least two years that the Ford corporation and its suppliers were determined to shut down the entire plant in Saarlouis
But the IG Metall and its works council reps have repeatedly stalled them with false promises in order to prevent industrial action against the cuts
Ford has been in the process of closing or reorganising entire plants in Europe
Russia and India for four years in order to increase profits at the expense of the workforce
works council representatives and the IG Metall have done everything in their power for years to ensure that resistance to this has come to nothing
the rank-and-file Ford Action Committee warned: “The declared aim of the works council and IG Metall is for a ‘social collective agreement’ to force the regulated closure of the plant on us.” This has been fully confirmed
The union has been using attrition tactics for years
culminating in the last six-day “industrial action” at the supplier park
The strike has shown that workers do not lack willingness to fight
IG Metall members voted overwhelmingly in favour of an indefinite strike in a ballot at all plants
it was supported practically 100 percent of the time
a motorcade and several meetings were held in the largest I-Park hall
The strike had an immediate impact on production of the Focus model
which is scheduled to continue at the Ford plant until November 2025
interior fittings and dashboards for this model
production at the main Ford plant came to a standstill for six days
But IG Metall did not take industrial action in defence of jobs; it was solely concerned with pushing through severance payments and determining the specifics of the decided closure
That is why it did not call on workers at the Ford plant to join in and extend the struggle
it had already urged them to accept a social collective agreement
“As they already don’t want to give us any jobs or a future,” wrote IG Metall chief negotiator Ralf Cavelius and Uwe Zabel from the union’s central district
“the only option left here is the second-best solution of a social collective agreement.” They once again emphasised the union’s compliant stance: “If the companies don’t want it
there’s nothing we can do.” They reduce the workforce to supplicants dependent on the mercy of the corporations
The IG Metall works council members at Ford Saarlouis
They are not willing to fight for jobs but support the company in its attacks on the workforce
they supported the internecine bidding competition between the Ford plants in Saarlouis and Almussafes in Spain
Then they suppressed resistance out of supposed consideration for an alleged investor that would emerge
the workforce does not know what secret agreements they made with the plant management
The union brought in Uwe Zabel from the Frankfurt IG Metall headquarters specifically to suppress resistance in the supplier park
After holding several positions in northern Germany
he is now IG Metall secretary in the “Joint Development Project Network Future,” with which the union aims to gain new members in companies without collective bargaining agreements
Zabel is a master at “looking left and turning right.” In Saarlouis
he organised non-stop protests and strike meetings during the six days of industrial action and delivered incendiary speeches against Ford—only to ultimately work alongside plant management and the works council to ensure that workers agreed to the social collective agreements
These agreements provide for severance payments of 1.5 gross monthly salaries per year of employment for permanent employees
as well as 12 months of continued employment in a so-called “transfer company” (really just an onward transmission mechanism to the unemployment lines)
This means that workers with years of seniority can expect severance payments of around €100,000
But what will happen to the temporary and agency workers
What about the many people indirectly affected in the region
even the best severance payments cannot compensate for the loss of a permanent job
With the acceptance of the social collective agreements
only one thing is certain: the lights will go out at Ford production in Saarlouis at the end of November 2025
and what will happen to the 1,000 employees who are supposed to continue working until 2032 at the latest is written in the stars
almost 7,000 jobs will be destroyed within 10 years (from 2022 to 2032 at the latest) in the state capital Saarlouis alone
The Ford Action Committee is therefore calling on workers in Saarlouis to join forces with their brothers and sisters in other threatened plants to take up the fight themselves
it wrote: “Ford will not be able to close a single plant if we unite internationally and lead the fight together.”
During the vote at the Ford plant four weeks ago
the action committee called on workers to vote against the social collective agreement and the plant closure
to express no confidence in the works council and IG Metall and to take the fight for jobs into their own hands:
A joint fight in defence of all jobs is necessary and must no longer be postponed
The claim that severance pay is a substitute for a job is false
Severance pay has never prevented a jobs massacre (...) It has always been the path to social devastation and the destruction of the future of the next generation
An unparalleled jobs massacre is unfolding throughout the automotive and supplier industry
the introduction of artificial intelligence or international competition
The ruthless attack on all the gains of the working class has a deeper reason: it is part of a class war that goes hand in hand with the return to war and militarism in foreign policy
the struggle for jobs can no longer be left to IG Metall and the works council reps
which act as Ford’s executive organs and company police
The Ford Action Committee insists that every job must be defended unconditionally
It fights for the international unity of the working class to defend jobs
The social interests of workers must take precedence over the profit interests of the capitalists
We say: Draw the lessons from the Ford-Saarlouis experience and join the Ford Action Committee
All contacts will be treated confidentially
Send a Whatsapp message to +491633378340 and fill in the following form
When it comes to closing down the Ford plant in Saarlouis
on behalf of the company’s top management and its shareholders
and leading the workers around by the nose
no trick is too shabby for the works council led by Markus Thal and the IG Metall union
exactly one year to the day after workers there had learned that their plant would be closed by 2025 at the latest
the workforce was once again brushed off and deceived by Thal and management
the 4,500 workers at the plant have been kept in the dark about their future
When managing director Martin Sander again asked for their “patience” because he could not yet name an investor that would continue running the plant after 2025
But Thal and his works council team had made preparations to prevent the meeting from escalating
Shop stewards had been told to boo Sander mercilessly and not let him get a word in edgewise
Thal then used the deafening noise and tumult as an opportunity to break off the meeting and send employees home or back to work
the whole process was a set-up to prevent workers from taking a decision to really fight for their future
Thal had announced at the meeting that he would hold a strike ballot a week later (Wednesday
in order to force through a “social collective agreement.” This is meant to regulate the liquidation of the factory and determine how much severance pay workers would receive
On Tuesday afternoon, about 12 hours before the start of the ballot, Thal called everything off again. In a video message from the IG Metall office in the German city of Völklingen
“Now there is movement on the matter.” Last week
together with the IG Metall negotiating group
he had “for the first time” been given an insight into “drafts of possible preliminary agreements.” The union and the works council had assessed these as “quite positive.”
possible investors and the state government were currently taking place “without interruption around the globe at all hours.” “And it’s going in the right direction
it’s about more jobs for us here at the site in Saarlouis,” Thal said
Thal called for another factory meeting on Friday
where he expected “further resilient results” from the company’s top management
This has been confirmed by Lars Desgranges
the senior IG Metall Völklingen representative: “We expect an LoI to be signed by then.”
All the parties involved are keeping quiet about the investors who want to declare their non-binding intention to operate on the factory site
But it is no secret that one of the last two interested parties for the factory site was the Chinese group BYD (Build Your Dreams)
which also manufactures cars and is interested in gaining a foothold in Europe
Chinese manufacturers are far ahead of European ones
BYD was therefore a direct rival of volume auto producers like Ford and Volkswagen
Ford’s top boss Jim Farley had only recently said at a financial meeting in the USA that his main competition was “not Toyota or General Motors,” but the Chinese carmakers
only a group of smaller Chinese carmakers are said to be interested in the Ford site in Saarlouis
Even if a letter of intent were to lead to a preliminary agreement and then a contract
there are above all the US war preparations against China
“A deal with a Chinese investor is likely to put Berlin on the spot,” writes Handelsblatt
“as the German government around Chancellor Olaf Scholz (Social Democrat
SPD) is currently doing a lot to reduce economic dependence on the People’s Republic [of China] and thus make supply chains here more resilient.”
It is far from certain that the end result will not be the sale of the factory site and the destruction of the production facility
an option which has occasionally been brought into play
That it has come to this is the responsibility of IG Metall and its works council under Thal
IG Metall and its workplace “representatives” organise one disaster after another for the workforces
They elaborate the mechanisms and instruments with which the workers are attacked in order to enrich the shareholders
Thal took over as works council chair in Saarlouis in 2019
he has pushed through the reduction of almost 3,000 jobs
always with the argument that this would secure competitiveness and thus the production location
In the ruinous bidding war between the Ford plants in Saarlouis and Almussafes (Valencia)
which the trade unions and their works councils in Germany and Spain had conducted in 2021 and 2022
which pays out billions to its shareholders every year
to cut the wages of all 22,000 workers in its German plants by 18 percent
The Saarland state government under the SPD offered billions in subsidies
But the Spanish trade union UGT and its factory representatives had offered even greater attacks on jobs and wages and the Spanish regional government even higher subsidies
wages are also being slashed at the Almussafes plant
and more than 1,140 jobs are being cut from the previous total of around 6,000
The UGT is just as merciless in acting against opposition within the factory as the IG Metall in Saarlouis
In addition to the 4,600 jobs in Saarlouis
another 2,300 are being destroyed in other plants in Germany
especially in the development sites in Cologne and Aachen
The workforce in Saarlouis has been kept in the dark and lied to by Ford and the works council for a year
Ford promised to table a “future concept”10 times and has still not presented it
Thal has announced a “fight” if a concept were not presented the next time
he is only begging for “resilience” and declarations of intent
Only Thal knows how resilient Ford’s promise to maintain 1,000 jobs at the site until 2032 is
It is likely to be just as resilient as the declaration of intent that Thal and Sander want to present on Friday
is the fact that Thal is negotiating piecemeal job cuts
Eighty employees are leaving the company via partial retirement
with currently 1,300 employees at seven companies
IG Metall started negotiations for a “social collective agreement” at the beginning of June
The jobs are to be eliminated with the help of low severance payments
a “transfer company” and a bridging model for older workers
Since its inception, the Ford Action Committee has warned against precisely such developments. In its first appeal in January 2022
shortly after Thal and IG Metall had made their cuts offer to Ford HQ in Germany
as part of the bidding war with the Spanish plant
All our concessions in the past and all the concessions already made at all Ford locations count for nothing today
We reject the blackmail and brutal competition being instigated between us and workers at other plants
Playing one off against the other leads to disaster
Now this disaster is becoming more and more real
The works council and the IG Metall have devoted themselves lock
stock and barrel to defending the interests of the corporation and its owners
They are on the other side of the barricade
Their ranting about “struggle” and “tough confrontations” is a sham
The only “struggle” that Thal and his fellow officials are waging is to stop workers from really fighting and to allow the factory to be closed down
Anyone who does not want to resign themselves to being sold out by Thal
Gruschka and the other corporate stooges in the works council and IG Metall should join the Ford Action Committee
a rank-and-file organisation of militant workers
It has sufficiently proven its strength in terms of its analysis and perspective
Now it has to be strengthened by Ford workers themselves
Contact the action committee via Whatsapp message at +491633378340
The result has come that many workers had feared
Ford Motor Company officially announced its decision to build its next generation of electric vehicles in Almussafes
plus around 1,500 workers in the adjacent supplier park
face redundancy when production of the Ford Focus ceases at the end of 2025
At the same time it was made clear to the 6,000 workers in Spain that they will also suffer as a result of the decision: with wage cuts
were angrier with the union and the hypocritical charade by works council Chairman Markus Thal than with the company announcement
“This is nothing but lies and deception,” one worker declared directly after the works meeting
Last September the company announced it would close either the German plant in Saarlouis or the Spanish factory in Almussafes near Valencia
At that time the WSWS warned that the works councils of both plants were outbidding one another with offers to make cuts
thereby “trying to prove to the company board that their respective site could produce more profitably than the other.” The losers would be Ford employees in both plants
The works councils in Germany are now pretending they fought to keep the plant open
cheated and fooled,” claimed Saarlouis works council Chairman Thal
The works councils refer to a “stitch-up” and “sham procedure.”
it was a “stitch-up,” but the works council and the IG Metall union were and are part of the game
The works council had sent out notice of the works meeting Wednesday to inform workers about the “status of the bidding competition” more than two weeks ago
the works council was informed that the company had decided in favour of the Spanish plant—but nobody believes this
The works council’s notices informed the workforce they should prepare for an extended meeting Wednesday beginning at 2:00 p.m
“depending on the decision.” It is clear the works council already knew the decision
While the works meeting was still in progress
flyers were distributed under the heading “breach of promise,” calling for a demonstration and rally
the police and the public order officials were informed about the action and were waiting for workers when they left the factory
“You can’t organise and do something like this in a quarter of an hour,” said one Ford worker
The version of the bidding process put forward by IG Metall and the works council at the meeting
the protest rally and in leaflets prepared beforehand can only be described as bold-faced lies
signed by its chairmen Benjamin Gruschka and Thal
claims in its very first sentence that the works council had only been informed on the same day
the pair declared they had “roundly” condemned the bidding competition they had themselves spent months organising
They even had the nerve to claim they had tried to act in concert with their Spanish colleagues
they did everything they could to ensure the closure of the Spanish plant by offering job and wage cuts and subsidies in Germany
instead of organising a common struggle against Ford
It was this spineless and submissive attitude
oriented solely towards the company’s profits
that encouraged management to demand even more cuts in Spain and wind up production in Saarlouis
The works council is now boasting it would have offered up wage cuts not only in Saarlouis but in all of Ford’s German plants
According to the twisted thinking of the union bureaucrats
allowing workers in other factories to suffer in the bidding competition amounts to a “declaration of solidarity.” Instead of a joint struggle
the joint renunciation of jobs and livelihoods is the new type of solidarity IG Metall is trying to impose
are now huffing and puffing about the fact that the company failed to take into account the cuts the union had organised and that Valencia was unfairly awarded the new contract
Their cries of “scandal,” “breach of promise” or “fraud” are akin to the pickpocket who shouts
“Stop thief!” They themselves organised the bidding process
hid it from workers and sabotaged any serious struggle to defend jobs
the works council and the unions reject any struggle to keep the plant open and are offering their services to Ford management to organise the smooth liquidation of the factory
Employees were due to be informed about further plans on Thursday
“We will now have to work on alternatives for the Saarlouis plant.” This
was the most important task for the coming weeks and months
will do that just as intensively as we have done in the last few months.” At Wednesday’s press conference Thal announced he planned to negotiate social plans and tariffs
He said that workers may strike to achieve these ends
strikes for more favourable redundancy payments instead of defending the factory
Wednesday’s rally gave a foretaste of the toothless protests the union now plans to organise
The workers were given whistles to blow and let off steam
and the protest was deliberately organised far away from the factory gates
to prevent workers from contemplating occupying a gate or even the plant and actually going on strike
Instead they were told that after 2025 the production of a model would end and were then carted off to a demonstration and rally where once again Thal and another representative of IG Metall feigned their surprise and anger just as they had done prior to the factory meeting
Workers must draw the lessons from the past few years and especially the last six months
If the workforce in Saarlouis allows the works councils and IG Metall to continue where they have now left off
The gradual closure of the plant will impact the entire region
leading to a rapid decline in wages and prospects
Workers have reported that when they apply for alternative jobs
such as 12 euros an hour working in logistics
This is the future the works council is organising
The workforce in Saarlouis should take an example from their Ford colleagues in India
They are on strike and occupying the gates
an action and strike committee should be set up to prepare militant measures to defend the factory
contact must be made immediately with workers in India
Contact the Ford Action Committee: send a Whatsapp message to the following number: +491633378340
Get in touch with the Ford Action Committee! All contacts will be kept absolutely confidential. Write a Whatsapp message to +491633378340 or click here to fill out the form below
Ford’s plant in the German city of Saarlouis resembles a slave market
the union IG Metall and the state government have been haggling behind closed doors over the fate of 6,000 workers and their families as if they were a commodity up for sale
First they played off the workforce in Saarlouis against their colleagues in Valencia
then they tried to palm off the workforce with a possible investor
kept so secret his or its name has remained undisclosed
the company and its works council announced that the secretive investor had backed out
According to Ford Germany boss Martin Sander
after an “in-depth feasibility study and intensive negotiations,” also involving the Saarland state government
the investor had decided not to continue negotiations
“He did not tell us his motives and we have to respect that.”
Some 6,000 jobs—4,500 at the Ford plant and 1,500 in the adjacent supplier park—are now on the line
Ford has indicated it will retain just 1,000 workers in a new technology park
how much workers will be paid or whether the jobs will ever exist is completely unclear
The works council has already agreed to the job massacre
“We will now do what we are there for,” said works council chair Markus Thal
“We will negotiate conditions for workers losing their jobs.”
A works council information sheet distributed on Thursday last week during the factory meeting stated: “It’s all about conditions for the loss of the jobs of 2,850 workers
We now have to face the possible new reality.”
Negotiations on a social agreement are to start as early as October 9
On the agenda is not the preservation of jobs
“So this step is now about negotiating the conditions for the possible job loss,” the works council info-sheet reads
The works council drones on that: “Ford still has a social responsibility and we will hold them accountable!” In the first place
to pay up!” The works council even threatens “possible warning strikes” and “indefinite
legal industrial action”—not to defend jobs however
Anyone who has followed the activities of the Ford works council and IG Metall over the past few years knows what to make of such threats
The union and its work council are quite prepared to stab the workforce in the back as long as their own privileges and salaries are preserved
The works council and IG Metall are doing everything to prevent a real struggle to defend the jobs
This was also the purpose of the proposal that workers could stay home for two days (with pay) after the works meeting
What was presented by the works council as a concession by the company
in reality served to ensure that angry workers stay out of the factory
They were denied any opportunity to meet together and discuss plans for real industrial action
The works council has so far relied on secret negotiations with the company and will continue to do so
The works council was closely involved in the negotiations with the mysterious investor behind the backs of the workforce
Ford negotiated “future working conditions with the investor” and the works council
“In 15 rounds of negotiations over the plant holiday
we negotiated in the past weeks a good concept for future working conditions.” The refusal of the investor then hit the works council “completely unprepared and absolutely surprised.”
the works council had already promised the company wage cuts of 18 percent and unpaid overtime amounting to 20 days a year in all German Ford plants
Now it has apparently offered the investor such lucrative working conditions that it was “totally surprised” when the investor turned down the offer
the company and the works council are still hiding the identity of the investor
which is usually well-informed on economic issues
wrote that according to its sources “it is one of the two leading Chinese electronics manufacturers
This raises further questions about the deal falling through
Did the German government veto a deal in order to prevent Chinese investment in Germany as part of its preparations for war against China
Or did Ford’s headquarters in Detroit intervene
bearing in mind the company has little interest in strengthening the hand of its Chinese competitors in the highly competitive global market for EVs
which has close ties to the state government and IG Metall
The investor is “closely linked to the car industry” and wants to “conquer the German and European market using the Saarlouis site if possible,” it reported
The problem was above all “the relationship between Ford and the new investor.” There was still no “concrete offer about conditions with which Ford is willing to participate in a transfer of the Ford factory into the hands of the investor.” The paper wrote that the works council
IG Metall and Economics Minister Jürgen Barke (SPD) were furious about this development
The state government had in the meantime made an “attractive offer” to the investor in an attempt to keep it on board
Barke and Ford representatives flew to China at the weekend for further talks with the investor
The financial offer of the state government goes “far beyond our limits,” the Saarbrücken newspaper quotes Economics Minister Barke
There is talk of “a financial participation in the order of a medium three-digit million amount.” This would correspond to about one tenth of the annual budget of the highly indebted state of Saarland and would entail further cuts in social spending
The Ford workforce would also have to make further sacrifices
The construction of a new production site by an Asian car manufacturer would devour “huge sums of money,” writes the Saarbrücker Zeitung
No doubt the works council and IG Metall agree and will offer further concessions
The independent Ford Action Committee has long since warned that there is no red line the works council and IG Metall would not cross
They do not represent the interests of the workforce
but rather they defend the profit margins of the corporation
working closely with top management and the government to achieve this end
The action committee has rejected the bidding competition with Valencia and proposed joint action with the colleagues in Almussafes
It has called for the withdrawal of the mandate of the works council and insisted that jobs must not be sacrificed to the greed of the group and its shareholders
It advocates industrial action to defend every job and demands the disclosure of the identity of the investor and all secret agreements made
The interests of workers must take precedence over the interests of the capitalists
The expected tariff cost is significantly lower than the $4 billion to $5 billion crosstown rival General Motors estimates
which Ford attributes to its higher mix of U.S.-built vehicles
Ford is negotiating with BYD about a potential sale of its vehicle plant in Saarlouis
A Ford delegation will soon travel to China to negotiate
This is what the Wall Street Journal has heard from insiders
there are apparently around 15 interested parties for the plant
although not all of them come from the car industry
Even if BYD’s interest has not been confirmed by the company, a takeover of the Ford plant would certainly fit the Chinese manufacturer’s strategy: BYD is planning at least one production facility for electric cars in Europe. In December
BYD manager Stella Li told Bloomberg that they were evaluating the best location “to support BYD’s rapid ramp-up”
it was not confirmed at the time whether the Chinese manufacturer would build a new plant or take over an existing factory
BYD initially launched three electric vehicle models in some European countries at the end of 2022, and two more series could follow in the course of 2023 – the Seal electric mid-size sedan and possibly also the Dolphin electric compact car
Like the first three European models (the Atto 3 compact SUV
the Han large sedan and the Tang large SUV)
all BYD electric cars offered in Europe are currently still built in China
Ford had decided last year to manufacture their next-generation vehicle architecture in Valencia, Spain
Ford currently produces the Focus series with combustion engines in Saarlouis
As Ford has not yet confirmed a new model for the plant and wants to reduce its production capacity in Europe
Separate from the reports surrounding Saarlouis
Ford confirmed that it plans to decide by mid-February how many jobs it will cut in Europe
it emerged from works council circles that up to 3,200 jobs are to be cut in Cologne alone
including in the European development department
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IG Metall and the company works council at the Ford plant in Saarlouis called for brief “warning strikes” to be held in front of the factory gate
Another warning strike took place last Friday
To make clear: the limited strikes are an integral part of the plan for the closure of the factory that the works council headed by Markus Thal and IG Metall is implementing on behalf of the company
The aim is to prepare the plant’s remaining 3,850 employees for imminent
offers of menial alternative jobs and low severance payments
Immediately after a supposedly serious investor backed out in October last year
Thal and his works council started negotiations on conditions for those workers to be made redundant
Ford had previously promised to finance 1,000 jobs until 2032
with Ford management and the works council sitting together for over three months to negotiate the conditions under which at least 2,850 Ford employees would be made redundant
Now Thal claims to have realised that the negotiations are “going in the wrong direction.” Allegedly
Ford does not want to pay the often long-serving employees more than has already been agreed in the company’s existing “voluntary programme.” The works council
wants to avoid an outcry and protests by offering the carrot of slightly higher severance payments
Thal explains this quite openly: “The offer presented so far in the social contract bargaining ..
is nowhere near enough to achieve a peaceful solution at the site.” Thal’s priority is a “peaceful solution,” i.e.
the closure of the plant—preferably without a squeak from the workforce
The extension of production until the end of 2025 will probably also serve this goal
with the works council and management currently planning to reduce daily production from 600 vehicles to 520 from April and thus switch to single-shift operation
but rather from a notice posted in a nearby supplier plant
This postponement would push back the final plant closure by a few months
during which time employees would be gradually eased out of the factory
The works council will also use the question of who will receive one of the 1,000 guaranteed jobs to divide the workforce
Colleagues who dare to rebel will be put under pressure
Ford boss Martin Sander revealed to the Kölner Stadtanzeiger newspaper that the 1,000 jobs are not located in the auto industry
and possibly not even in an industrial company
He confirmed that there would not be a “key investor” from the auto industry
Ford is endeavouring to “attract companies from other industries to the site in order to create as many jobs as possible.”
this means that 1,000 Ford employees will be offered jobs at companies with which Ford has possibly reached or will reach an agreement
There are rumours among the workforce that an agreement with a Chinese company will be announced soon
when it is announced in the next few weeks which companies will be taking over key parts of the plant
many of the remaining 2,850 Ford workers and the 1,500 employed in other companies in the neighbouring supplier estate will be left empty-handed
IG Metall and the works council under Thal know these details but are saying nothing
This is because Thal and his representative on the works council
were regularly informed about the status of negotiations by the so-called task force
Shortly after a major investor backed out in October last year
plant manager Sarah Gielen announced she would be leaving at the end of 2023
who was previously the chairman of the task force
The company human resources manager had already been replaced by task force member Roman Lauer
Now these people are sitting together to negotiate the terms of the social contract
What this conspiratorial group has already decided
first in the task force and now in the latest negotiations
The most important lesson from the past two years goes far beyond Ford: the fight to defend jobs must be directed against the company and its trade union and works council apparatus
IG Metall and the works council are lined up totally with the other side
the Ford General Works Council and IG Metall jointly entered the bidding competition against the workers at the Ford plant in Almussafes (Valencia
they have lied to and deceived the workforce
Behind the backs of the more than 4,600 employees at the time—down from 7,000—they initially offered the Ford Group management huge wage cuts and job losses as well as billions in subsidies along with the SPD (Social Democrats) state government of Saarland
All 22,000 employees in all Ford plants in Germany were to receive 18 percent less pay and work an additional 20 days a year—without pay
The investor was to receive up to an additional 5 billion euros in taxpayers’ money
In its first statement almost exactly two years ago
the rank-and-file Ford Action Committee took a clear stance on the bidding competition and warned: “We reject the blackmail and brutal competition between us and between our sites as a matter of principle
Playing off against one another will only lead to disaster.”
When Ford announced in June 2022 that the plant in Saarlouis had lost the competition with other plants and would be closed
IGM and the works council suppressed calls for industrial action and encouraged hopes that a new investor would step in and continue to run the plant
only 3,850 people are still employed at the plant in Saarlouis and around 1,500 in neighbouring companies in the supplier estate
This total of more than 5,300 jobs at Ford and its suppliers is now in acute danger
If the IG Metall works council under Thal is not finally countered
the UAW (United Auto Workers) union enforced a miserable contract on car workers—including colleagues at Ford—in its last wage negotiations
The only reason there was no rebellion against the contract was because promises were made to the preserve jobs and the hiring of temporary workers
Now the temporary workers are being made redundant and a rebellion is developing against the UAW and its false promises
Action committees are preparing a struggle
miserable working conditions and low wages
a new wave of attacks is on the horizon at VW
tire manufacturers and many other smaller companies
The workers at Ford in Saarlouis must unite with these colleagues worldwide through the International Workers Alliance of Rank-and-File Committees
Become active and held build the Ford Action Committee
Ford will cut 3,500 jobs at its plant in Saarlouis
after reaching an agreement with German union IG Metall
The Saarlouis site currently builds the Ford Focus but the carmaker plans to kill off the iconic hatchback in 2025 as announced in mid-2022
The factory had been considered as a potential site for the firm’s next-generation of EVs but Ford ultimately opted to build these vehicles at its plant in Valencia
leaving the German plant without a single model to produce
Speaking on the matter earlier this week, IG Metall announced that approximately 1,000 jobs would be retained at Saarlouis after 2025, although it is not yet clear what positions these employees will hold. The union added there would be no forced layoffs until 2032. In addition, employees will be able to leave early with a well-funded severance deal, Auto News Europe reports
“We could not achieve the best solution so we decided to make do with the second-best option: to make job cuts as expensive as possible for Ford,” district manager of IG Metall Mitte Joerg Koehlinger said
Read: Ford May Have Botched Another Recall, This Time With The 2012-2018 Focus
The long-term future of the Saarlouis plant remains unclear. Last year it was reported that a handful of Chinese carmakers, including BYD and Chery, were among the companies interested in taking over the factory. Ford also held talks with a German solar panel manufacturer but as of October 2023
the site was on course for closure after these talks fell through
Given that the Focus won’t be around for much longer, it’s little surprise that it has received very few updates over the past couple of years. With that being said, Ford did introduce a new optional Track Pack for the flagship ST model in late 2022 that includes adjustable KW suspension
IG Metall and the works council at Ford Motors in Saarlouis announced a document for a social contract aimed at sealing the end of the plant
Of the almost 7,000 jobs that once existed at the factory
only 1,000 are to remain at the end of next year
This means that 2,800 of the current workforce of around 3,800 will lose their jobs by that date
in addition to around 1,500 jobs lost in the neighbouring supplier park
This confirms what the Ford Action Committee has always said
Jobs cannot be defended with the works council and IG Metall
the works council and IG Metall have worked intensely with the company management
in what can only be described as a conspiracy against the workforce
has been to keep production running as smoothly as possible while organising the closure of the plant and the destruction of jobs in secret negotiations
claimed that the plant and the jobs could be defended by workers making voluntary and far-reaching concessions on wages and working conditions
He also maintained that negotiations had to be conducted in secret in order to be successful and that an investor had been found whose name could not be made public in order not to jeopardise a possible takeover
All of these claims have proved to be lies and deception
Now Thal & Co are trying to talk up severance payments and quote high sums which
when calculated accurately and after deduction of taxes
The claim that a severance payment is a replacement for a job is the next big lie told by the works council mafia
Severance pay has never and nowhere prevented massive job losses
It has invariably been the path to social devastation and the ruination of future of generations
There is no individual way out of the crisis
A common struggle in defence of all jobs is necessary and can no longer be postponed
That is why the establishment of the independent action committee is so important
The redundancies and plant closure plans at Ford are just the beginning
A job massacre is unfolding in the auto industry the likes of which the sector has not seen since the Second World War
manufacturers and suppliers have been using the transfer to electric mobility to cut jobs and increase labour exploitation
the Munich-based Ifo Institute once again reported falling business expectations in the auto industry based on a company survey
Shareholders are now unequivocally demanding a huge increase in the exploitation of the around 800,000 workers employed by manufacturers and suppliers in order to ensure ever rising returns on their investments
Studies estimate that up to 40 percent of jobs will be lost as a result of the switch to electric mobility
The situation in other countries is very similar
This means that major class struggles are inevitable
which will go far beyond the current warning strikes and break through the control of the trade union apparatus
factory occupations and mass protests of all kinds
This is why IG Metall and its works councils are doing everything they can to suppress any initiative in defence of the Ford plant in Saarlouis
They are afraid that Ford-Saarlouis will spark a conflagration and that the heated mood and anger over mass redundancies and social cuts will turn into active resistance
The conclusion is clear: it is necessary to courageously oppose the conspiracy of the management board
works council and IG Metall to shut down the plant
Millions of workers in many other companies are waiting for someone to make a start
Thal and his cronies are threatening that anyone who fights the closure will lose their right to severance pay
when he agreed to the disgraceful bidding contest and played off the employees in Saarlouis against their colleagues in Almussafes
the works council is now once again trying to divide the workforce with the help of the social plan
The social plan does not suspend the right to strike and industrial action
The announcement of the plant closure also ended the phase of so-called industrial peace
There is no reason to continue production under these conditions and be led like lambs to the slaughter
It is now necessary to build the action committee and prepare joint struggle measures
Two things are key to this end: building links with workers at other Ford plants and suppliers and taking stock of the reactionary divisive policy of the works council and IG Metall
which have been especially bitter for colleagues at Ford in Saarlouis
After the initial shock that followed the announcement of the plant’s closure in June 2022
the works council under Thal spread the illusion that things could somehow continue
One year earlier he had already played off the employees in Saarlouis against those in Almussafes in Spain in a brutal bidding war
Thal negotiated behind closed doors for months
he refuses to disclose the wage concessions and extensive deterioration in working conditions he offered at the time
This was followed by stalling tactics with a supposed investor who would take over the plant
it became clear that there was no investor
rumours were fuelled that an investor would or had already been found
In order to absorb the expected anger and disappointment
the works council and IG Metall organised short warning strikes from January 17 to 19
The reason given by Thal was that Ford management was refusing to increase severance payments beyond those stipulated in existing contracts
He later announced that the social plan that was now on the table was the result of the workforce’s struggle
the last warning strike spectacle by the IGM and the works council was aimed solely at concealing the fact that the social contract agreed serves exclusively to enforce the plant closure and maintain production up until the last day
the extension of production until the end of November 2025
IGM and the works council are now urging the workforce to accept the “overall packet” in a ballot on February 22
This would be the final nail in the coffin Thal is hammering into the plant and means that car production in Saarlouis will be history by the end of 2025
The WSWS and the Ford Action Committee have been fighting against the bankrupt policy of IG Metall and its works councils from the very beginning
We therefore call on the workforce to act now:
China’s BYD may be looking to strengthen its foothold in Europe and is in talks with Ford to buy the American automaker’s assembly plant in Saarlouis
The Wall Street Journal reports that Ford management in Germany is heading to China next week to discuss the terms of a sale with BYD
citing unnamed sources within the American company
prices and other terms of the deal are not yet known
According to the sources, though, the deal is still in the preliminary stages, meaning that it is not certain that the Chinese company will buy Ford’s German plant
Other companies said to be in discussions with the American automaker include Magna International
which may look to buy the plant with the help of an automaker
Read: Ford Focus To Be Phased Out In 2024, German Plant Axed In Shift To EVs
“We’re investigating various options for the future and sustainable use of the Saarlouis site,” a Ford spokesperson told the WSJ
we are in ongoing discussions with a number of potential buyers and have nothing further to add at this time.”
Ford previously announced in June that it would be shutting down its Saarlouis, Germany, plant by 2025. The plant currently produces the Focus. The automaker is working to overhaul its European operations as it shifts over entirely to electric vehicle production
For BYD
the move would mark an important step for its European expansion
Already China’s biggest electric vehicle manufacturer
the company has begun to sell some passenger vehicles and buses in select European markets
and this move could presage further growth
Ford Motor Company’s decision to halt production at its plant in Saarlouis
Germany in 2025 is part of the biggest international assault on the social gains and rights of the working class since the 1930s
At stake are not only the futures of the families of the 4,600 directly employed workers but also another 1,500 workers in the neighbouring supplier companies and the economic life of the entire region
where several tens of thousands of jobs depend upon the auto industry
The Ford-Saarlouis workforce is representative of workers around the world whose livelihoods are being destroyed
Global auto companies are using the shift to less complex electric motors to reorganize the whole production process and squeeze every last ounce of profit out of workers
Ford reported a profit of nearly €9 billion on sales of €115 billion for 2021
CEO Jim Farley announced that the company aims to achieve an operating return of 10 percent by 2026
The company’s most important aides in this are the trade unions and their works council representatives
They agree with the corporations on wage and job cuts
suppress any resistance to them and divide workers by playing off one location against another
The “bidding contest” between the Ford plants in Saarlouis and Valencia
in which both the German IG Metall and Spanish UGT unions participated
is only the shabbiest form of this rigged game
Yet the restructuring of the auto industry is only one front in the capitalists’ global offensive against the working class
The dramatic rise in inflation—a consequence of trillion-dollar state giveaways to the financial markets and the NATO offensive against Russia—is driving countless working class households into poverty and hardship
The “profits before lives” policy in the pandemic has caused millions of deaths worldwide and lifelong illnesses for even more
The vast sums spent on rearmament and war are being recouped through cuts in education
While millions of workers worldwide are losing their livelihoods
the fortunes of shareholders and the multimillion-dollar salaries of top managers continue to grow
France and Luxembourg with a population of just under 1 million
has been particularly hard hit by this upheaval
Its economic development shows great parallels to the Ruhr area
the coal and steel industries were at the centre of economic life until the postwar period
more than 125,000 people were still employed in Saarland’s mining and steel industries; by the early 1970s
and unemployment had risen above 15 percent
The colliery die-off began in the 1960s and lasted until 2002
The announcement of the closure of the Ford plant in Saarlouis fell almost exactly on the day the last colliery closed 20 years ago
Mining’s demise was accompanied by the winding up of the Saarland steel industry
of the more than 125,000 people employed in coal and steel
only around 7,000 steelworkers from Saarstahl and Dillinger Hütte remain
The shutdown of Saarland’s coal and steel industries earned Oskar Lafontaine
as Social Democratic Party (SPD) state premier
and Peter Hartz as labour director of Dillinger Hütte and Saarstahl
whose brother Kurt headed the IG Metall in Völklingen for three decades
became head of human resources at the VW Group in 1993 and in 2002 devised the “labour market and welfare reforms” named after him for Chancellor Gerhard Schröder (SPD)
where a new Opel plant began production on a former coal mine site in 1962
the state government sought to attract automotive companies to Saarland in an effort to mitigate the effects of the coal and steel crisis
production of vehicle components for other Ford plants and for Renault began in Saarlouis
The plant was Ford’s 14th production facility in Europe
the choice of location was a profitable decision
It secured advantages over competitors in the rapidly growing European market
The geographic location in the border triangle was advantageous for supplies and exports
And the federal and state governments granted Ford massive concessions and subsidies
Because of rising unemployment due to the slow death of coal mining
then-Chancellor Ludwig Erhardt had become involved in negotiations with Ford
Henry Ford II said that the company had chosen the site “also because of the encouragement and support we received from the government of the Saarland and from the German government.”
more than 15 million cars have been produced in Saarlouis
Eighty percent of these were exported to more than 80 countries worldwide
the workforce grew to 4,600 in 1971 and 8,100 in 1978
the workforce size fluctuated with the change of models and the ups and downs of sales
The pace of work and productivity were continuously increased
Ford became one of the first automakers to introduce “just in time” delivery of vehicle components
reducing inventory costs and outsourcing entire production areas to cheaper suppliers
Saarlouis became the pilot plant for the introduction of “just in sequence.” “Just in time” was thus extended to all models produced at the plant
Suppliers delivered the parts and components for pre-planned simultaneous production of the various models
the Ford Saarlouis Industrial Park was created right next to the auto plant
where suppliers set up their production facilities in the immediate vicinity of the factory
The Saarland state government subsidized the construction of the facility to the tune of €100 million
Some of the supplier parts are transported directly to the Ford assembly line via electric monorail systems or tunnels
Ford announced it had installed a new hot forming plant in the new Boron hall
This can process ultra-high-strength and particularly lightweight boron steel components on site and has—at that time the only one in the automotive industry—a fully automated unloading process
Workers hope that at least this modern facility and the entire stamping plant will remain in place after 2025
The Saarlouis plant also underscores the essential unity of the working class
Workers from France and Luxembourg work together with their colleagues from Germany
more than 1,000 workers crossed the border every day
The families of many of the plant’s workers come from Turkey
As recently as 2019—just before the final round of layoffs—7,200 people were still working at Ford in Saarlouis
the new works council under Markus Thal took up office
the first step was taken to halt production
it was announced that Ford would end production of the C-Max in June 2019
contrary to a works agreement that guaranteed production until the end of 2019
the current IG Metall Völklingen Director Lars Desgranges reacted to management’s decision to throw the old company agreement in the trash by demanding a new one
“And that’s when we say: If we really have to give up the C-Max in order to develop a perspective for this plant
then we also want to have this perspective agreed upon in a works agreement
We want long-term security for the site with investment commitments.”
1,000 more jobs were eliminated; the workforce currently stands at just under 4,600
the cutbacks were supported by the IG Metall works council representatives with empty promises that they served to “secure the production location.” The workforce was therefore shocked when Ford announced three weeks ago that it would end production and thus
not only for the workers directly affected but for future generations as well
It is time to learn the lessons from the experiences of Ford workers
many of whom have spent more than half their lives at the plant
The times when lost jobs were replaced by jobs of equal value are long gone
where three Opel plants once employed 20,000 workers
DHL now operates a large logistics centre on the former plant site
and the Ruhr University has various research facilities
All that remains of Opel is a newly built European central warehouse with 700 employees
The “bidding competition” between Valencia and Saarlouis
in which the works councils of both plants sought to outdo each other with proposals for more profitable production
have also served to reduce production costs through huge job cuts
the workers there will face much worse conditions
The building of independent action committees is directly linked to the struggle for a socialist perspective
Without breaking the power of the big corporations and the financial aristocracy
Only the expropriation of the corporations and banks without compensation creates the conditions for the democratic control over production
Only then is it possible to develop production according to a plan in the interests of the working class and social needs
Get in touch with the Ford Action Committee
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The decision to close down the Ford plant here in Saarlouis by 2025 at the latest and destroy the livelihood of our families heralds a new stage in our struggle
Now it is time to take stock and draw the necessary conclusions
What we have been warning about for half a year has come to pass. A few days after the cutback plans were submitted at the end of January to Ford’s European headquarters in Cologne, we wrote:
we reject the blackmail and brutal competition being instigated between us and workers at other plants
We demanded an immediate end to the secret negotiations between the works councils and management at all sites
Many colleagues we speak to also think there should never have been any participation in the intra-company bidding competition
But both our works council in Saarlouis under Markus Thal and the Spanish works council under José Luis Parra insisted on it
Both were solidly convinced that they could demand greater sacrifices from “their” workforce and thus win the bid
have kept quiet about what cuts they have offered
The confidentiality agreement they signed was mainly to avoid having to tell us workers anything
because most of us would certainly not have agreed
Thal and his works council representatives constantly claim they are fighting
the works council declares: “It is now a matter of fighting with all our might to preserve our site and for as many jobs as possible.” But to fight
“we need robust answers from Ford.” In other words
The only thing the works council representatives understand by this is grovelling before the company and begging for handouts
We are supposed to keep quiet in order not to endanger this “fight” on our knees
The only aim of the IG Metall union and the works council is to prevent us waging a real struggle
The protest rally last week was deliberately held far away from the company premises--for fear that angry Ford workers might take the initiative
organise a spontaneous occupation of the company gates and launch a strike
One worker summed up the widespread sentiment: “They should have blocked the gatehouse and all the gates immediately and not let anyone in or out.” Another said
“Not a single vehicle should be allowed out.”
The currently organised question times and departmental meetings do not amount to industrial action
The small amount of lost time due to these Q&A sessions will be easily made up in the coming weeks
the works council rejected short-time working
Even working during the factory holidays will not be prevented
Parts for other factories are supposed to come off the production line in the press shop
Works council representatives accuse the company of having broken the “trusting cooperation” provided for in the Works Constitution Act
they constantly affirm that they are slavishly subordinate to the Works Constitution Act
The works council and IG Metall have not been betrayed by the Ford group
They have deceived us jointly with top management
Like sheep on the way to the slaughterhouse
The works council’s announcement that it wants to negotiate for “the preservation of our plant and as many jobs as possible” shows that it has already given its blessing to job cuts
What the future will look like if the works council has its way is clear
an audio file is being distributed among us via WhatsApp in which Armin Gehl
an association of the transnational auto industry in the tri-border region of Luxembourg
explains how the companies envisage the next three years
He sees a great opportunity for the Saarlouis press plant
to remain in existence and work alongside other European Ford plants—the plants in Cologne
This would mean that “only” about 3,000 of the 4,200 employees remaining in three years would lose their jobs
Of the more than 1,500 employees in the supplier park
Gehl said he had heard from Ford that most of the more than 3,000 workers who will lose their jobs will go through a severance programme
This is what IG Metall is currently negotiating in close cooperation with the works council: the press shop would preserve the site and “as many jobs as possible.”
We repeat: The defence of our plant and our jobs is only possible in a struggle against the IG Metall and its works council representatives
the plant that our fathers and grandfathers built up over 50 years will be closed down
We propose to prepare real actions of struggle: Strikes
actions to prevent the dismantling and removal of machinery
the dispatch of delegations to other sites and companies
Our closest allies are our Ford brothers and sisters in Valencia (Spain)
Our colleagues in Valencia are paying for the promise to continue production there with massive wage cuts
job losses and the deterioration of their working conditions
Romania and Turkey must also expect renewed attacks
The division of the Ford group into a combustion engine division and an e-division is linked to demands for a profit margin of 10 percent
Ford has announced it will close two plants
the other was supposed to close its doors for good on Friday
But our colleagues in India started a strike and occupation of the factory gates more than four weeks ago
Ford tried to fight back against the industrial action by using strike-breakers
but then it was forced to increase its compensation offers
Now it has postponed the closure for a month as it still wants to sell the 1,400 cars that are almost finished in the factory
Our Indian colleagues continue to reject Ford’s offers
Some have contacted us and are very interested in an exchange of ideas with us
but also other workers would welcome the initiative to fight against plant closures since protests and struggles are increasing all over the world
especially because of rapidly rising prices
we have seen that the willingness of the workforce to fight is great
But the most important step in conducting a principled struggle to defend the factory is to build our rank-and-file action committee
Send a WhatsApp message to the following number: +491633378340) to give organisational and political expression to the widespread opposition to the works council
· Strike now because we cannot wait until 2025
· Unite with our brothers and sisters
· Make contact with other workers in Germany
France and around the world who are resisting paying with their livelihoods for the enrichment of shareholders and executives and the cost of war and militarism
The Dutch electric bus manufacturer Ebusco has a new customer in Germany: Ebusco won a tender from KVS GmbH Saarlouis and will be commissioned by the public transport company to supply 20 electric buses
The order specifies 15 examples of the Ebusco 2.2 with a length of 12 metres as a solo bus and five Ebusco 2.2 in the 18-metre version – as an articulated bus
The vehicles are to be delivered at the beginning of 2024 and will be used in the Saarland and the city of Saarlouis
The Ebusco 2.2 is the manufacturer’s tried and tested model, which is still regularly ordered. With the Ebusco 3.0
the Dutch company also have a newer model on offer
which is supposed to reduce consumption and thus energy costs due to its lightweight construction
Ebusco states that winning the tender in Saarlouis
in which other e-bus suppliers had also participated
underlines “once again the competitiveness of the Ebusco 2.2 in terms of range and energy consumption”
more detailed reasons why the KVS chose the 2.2 instead of the 3.0 are not given
KVS managing director Andreas Michel only states that Ebusco prevailed with the best offer
“The Ebusco 2.2 low-floor buses have a very large radius of action and will help transform KVS’s fleet step by step to emission-free transport,” Michel is quoted as saying in the Ebusco release
adds: “We are very proud to be able to win this tender for Ebusco
We are very much looking forward to working with KVS Saarlouis
together we can fulfill our common goal to make public transport more sustainable.”
ebusco.com
(WACH) - Former South Carolina women's basketball star shooter Destiny Littleton is taking her talents overseas
Littleton signed with the Saarlouis Royals in Germany
WACH Fox sports reporter Amanda Poole spoke with Littleton to discuss the process
and how her collegiate career prepared her for the next level
Click on the video at the top of the page to watch the full interview
The move comes as Ford in Europe priortises shift to EVs
Ford has confirmed that it will cease making the Focus model in 2025
in a move that threatens the longer-term future of its Saarlouis
Ford said that its plant in Saarlouis will continue to produce the Ford Focus passenger car until then
while the company is also evaluating options for future site concepts
Ford has emphasised the future role for electrified models – which includes its Cologne plant in Germany being a hub for EV production
It will build a new SUV based on VW’s MEB platform from 2023
Ford also recently announced that its Valencia
plant would receive investment for making electric vehicles on a next-generation electric vehicle architecture
Ford of Europe chief Stuart Rowley told media this week that there is no additional model planned for Saarlouis when Focus production ends and that the company is evaluating alternative options that could even include selling the plant to another automaker
Analysts note that the C-segment hatchback Focus model used to sit in a segment that dominated the European car market
it has dramatically declined as crossovers and SUVs have surged in popularity over the past ten years
The forecast shift to electric over the next five years has made the case for investment in a replacement compact hatchback model with an ICE-based powertrain even less convincing for Ford management
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Ford had been hopeful that it would be able to sell its factory in Saarlouis, Germany but talks with a potential investor have fallen through and the site is now on course for a thorough makeover
No less than fifteen possible investors expressed interest in the plant
The boss of Ford Europe’s passenger car business
informed workers at the plant that it would look for an alternative plan that would allow it to save 1,000 of the 4,400 jobs at the factory
Ford says this plan would see it convert the site into a technology center but further details about this center are not known at this early stage
The union representing workers at the site expressed frustration at the news and said it would work to finalize a collective bargaining agreement for those workers who will lose their jobs
Read: Ford To Build 250,000 EVs Per Year In New German Plant, Starting With VW-Based Explorer
“This will be expensive for Ford,” union representative Joerg Koehlinger said
“We will send a signal so that other companies will be afraid to flatten sites.”
We’ve known of the impending demise of Ford’s Saarlouis plant since mid-2022 when the carmaker announced that its factory in Valencia
Spain had been selected to build future electric vehicles for the European market
Ebusco has signed a contract with KVS GmbH Saarlouis for 15 Ebusco 2.2 12-meter and 5 Ebusco 2.2 18-meter buses
The delivery of these buses is planned for early 2024
further strengthening its position in one the leading countries for Zero Emission transport
The new Ebusco 2.2 buses will be used by public transport company KVS (GmbH Nahverkehrs-Unternehmen) in the state Saarland and city of Saarlouis
not far from Karlsruhe and close to the French border.Andreas Michel
Managing Director at KVS Saarlouis comments: “Following the tender for electric buses for the KVS Saarlouis
Ebusco came out on top with the most advantageous offer
The Ebusco 2.2 low-floor buses have a very large radius of action and will help transform KVS’s fleet step by step to emission-free transport.Wolfgang Hackauf
Sales Director at Ebusco comments: “We are very proud to be able to win this tender for Ebusco
together we can fulfill our common goal to make public transport more sustainable.”
© Copyright 2012 - 2025 | Vado e Torno Edizioni | All rights reserved | P.I
Even before the desserts (an iced coffee with chocolate, nuts and caramel and various small sweets, including a spectacular mandarin gum), the two dishes that drew the loudest applause passed the table. The first was a simple truffle quiche, the second a hamachi fish cooked to perfection. At the end of the meal, when the chefs came to greet the diners, there was an expression in Louis' parlour that was almost as loud as "dankeschön". It was "villmols merci".
Louis' four-course dinners are a sign of a trend.
"We're very keen to appeal to the Luxembourg clientele, who have purchasing power and are right next door," said Britta Krug, the hotel and restaurant director, at the end of the meal. "The haute cuisine market obviously has a large clientele in the Grand Duchy." Until a few years ago, it was the most starred country in the world per capita.
Luxembourg currently has one restaurant with two Michelin stars (Ma Langue Sourrit) and seven with one. With the announcement of Villa's closure, there will soon be only six. In 2018, for example, the country had two restaurants with two stars and eight with one.
The same arguments always seem to feature in the closure narrative: high rents, staff and food prices.
Laurent Fery, director of the Gault&Millau Luxembourg guide, admits that the last two years have been stagnant. "There was a huge boom after the pandemic because people wanted to go out again after spending so much time at home. But then things cooled down, much to blame for the price increase that the energy crisis brought," he said.
However, he remains hopeful things will pick up. "I believe that 2025 will be a year of recovery, with new venues opening and bringing very good things," he said.
While the Grand Duchy is sorting out its difficulties, Germany continues to wink across the border. Despite the fact that the German state of Saarland is an industrial area, unappealing to tourists, there are more and more top restaurants wanting to capitalise on the Luxembourg clientele. The best-known case is Victor's Fine Dining in Perl, just one kilometre from the Luxembourg city of Schengen. It has three stars.
But in Saarbrücken, 40 kilometres from Schengen, there are now two two-star restaurants. In the rest of the state, there are four more with one star. And even on the French side of the border, we saw the Domaine de la Klaus win its inaugural star last year - right next to Schengen, too.
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Cradles transport Ford Focus automobile bodies inside the factory in Saarlouis
The automaker’s Focus factory in Saarlouis, Germany, will idle from Jan. 18 through Feb. 19, according to a spokesman, who said lower consumer demand also is playing a factor. The plant is Ford’s lone manufacturing facility for the Focus and employs about 5,000 workers.
, opens new tab earlier this year announced it would start EV production in Spain in 2025
and will open a battery production plant in Valencia.Reporting by Joan Faus
Inti Landauro and Tom Sims; editing by Jason Neely and Jonathan Oatis
On 15 January the Spanish newspaper Economia Digital reported that the Ford Motors general works council headed by Benjamin Gruschka has offered to slash wages in Germany in order to undercut the Ford plant in Almussafes in Valencia
the German union IG Metall has promised wage cuts of 18 percent and additional unpaid overtime amounting to 20 days per year
The offer affects not only the 4,600 workers in Saarlouis
but also all German Ford factories with a total staff of around 22,000
Workers at Ford’s main plant in Cologne and its development site in Aachen are also expected to take cuts
The general works council had already announced in December 2021 that everyone would have to make “sacrifices,” calling the move “Solidarity for Saarlouis—a future for everyone.” The union remained silent
about the extent of its offer to the company
When the Ford group announced a few months earlier that its two plants in Saarland and Valencia
would have to compete against one another for the contract to produce electric vehicles
the respective workforces were shocked and spoke out against this policy of divide and rule on the part of management
the works councils and union bureaucrats in Germany and Spain took on the task of organising a competitive bidding process
and since then have repeatedly undercut one another
IG Metall and its works councils remained absolutely firm on their offer to management submitted together with the Saarland state government headed by premier Anke Rehlinger (SPD)
When Ford first announced in June last year that the group’s next electric model would be built in Almussafes and that the site in Saarlouis would be closed
Thal has complained about the company's decision
arguing that the IG Metall offer was allegedly 1.4 billion euros better for the company than the one from Almussafes
the works council led by José Luís Parra of the trade union Unión General de Trabajadores (UGT) led the bidding competition
The Spanish works councils have now disclosed some information about the offer made in Germany
The Ford plant in Almussafes is due to hold works council elections
The UGT works councillors led by Parra had to justify the cuts they had agreed to in the bidding competition and which they are now in the process of implementing
These cuts include freezing wages for the next four years
wage increases of just 1.6 percent from 2026
as well as an extension of daily working times by 15 minutes and the cancellation of some holidays
This adds up to a total of eleven days extra that each worker will have to work each year
Aachen and Saarlouis are to receive 18 percent less pay and work an extra 20 days per year
The exact terms of the offer remain unclear; 15 percent of the wage reduction was supposedly to come from cuts in contractually agreed wage components
Ford employees are paid according to the North Rhine-Westphalian state contract for the metal and electrical industry
Non-contractual wage components have not existed for a long time
Thal and IG Metall offer cuts in these wage levels
Or have they offered to forego future increases
The remaining 3 percent of the 18 percent wage cut was apparently to be added by cutting the so-called “transformation pay” (T-train) first agreed in 2021
which allowed workers to choose between extra pay or up to eight additional days off
the workforce in Saarlouis was expected to sacrifice 20 days off
workers can save up 14 to 15 free shifts per year based on their current daily half-hour of extra work
These 14 free shifts plus another six free days—presumably subtracted from the T-train agreement—would then add up to the total of 20 days
This massive attack on workers’ pay and conditions was apparently worked out behind closed doors by a small cabal led by Gruschka
Ford workers must demand that the scandalous offer made by the German works councils and union be fully disclosed
The extraordinary factory meeting on January 23 in Cologne is a good opportunity to do so
the workforce at the Cologne main plant were informed that their jobs would also be cut
in which workers have united against the policy of the works council and IG Metall
demanded that the IGM offer be made public
but Thal and Gruschka have vehemently rejected this
Once again it can be seen that the Ford Action Committee was absolutely right in rejecting the entire bidding process
The committee warned from the beginning that the winner of the bidding competition was a foregone conclusion—the company and the works council leaders
production in Saarlouis is due to cease in two and a half years at the latest
and several thousand workers will lose their livelihoods
the workforce not only faces wage cuts and extra work
but also job cuts and even the possible closure of the plant
Several Ford models are currently being phased out—the Mondeo already last year
All that remains is production of the Ford Kuga and part of the Transit Connect production
The start of production of the new electric vehicle
for which wages will be reduced and working hours made more flexible
has not yet been scheduled and could only commence in 2030
workers expect that several hundred will lose their jobs this year
Already 700 workers are on short-time work every day
Leon Trotsky wrote that the character of a trade union is expressed “by its relation to the distribution of the national income.” If the trade union officials “defend the income of the bourgeoisie from attacks on the part of the workers
should they conduct a struggle against strikes
then we would have an organization of scabs and not a trade union.”
IG Metall is not only conducting a struggle against wage increases
It is actively advocating and implementing wage cuts and cheap labour in an industry where workers were once among the best paid
It is an anti-worker organisation that enforces the company’s attacks on the workforce
There is considerable disquiet amongst the Saarlouis workforce
Workers are asking how they can get rid of this corrupt works council once and for all and defend their jobs
The current calm—sickness leave is up to 20 percent in some departments and just a few hundred workers still come to the works meetings—heralds a new wave of open opposition
The important thing now is to prepare for what is coming
Contact the Ford Action Committee and discuss a common policy for struggle
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Ford's biggest sites on the Continent are shutting down
Ford Motor Company (F -0.97%) said that it will temporarily suspend production at its main manufacturing sites in Europe in response to the growing outbreak of COVID-19
Ford will suspend production at its vehicle assembly plants in Cologne and Saarlouis in Germany
A Ford Focus on the production line at Ford's assembly plant in Saarlouis
The Saarlouis factory is one of four Ford plants in Europe that will be shut down by the end of this week
The Cologne and Saarlouis plants manufacture the Fiesta and Focus sedans, respectively, for European markets. While the two models have been discontinued in the United States, they remain among Ford's best-selling products in Europe
The decision to shut down was driven in part by supply chain concerns
But he emphasized that the company is also considering the human aspect
"While the impact of coronavirus at our facilities so far has been limited thankfully
on Monday after three of its workers tested positive for COVID-19 over the weekend
The Valencia factory builds several models
including the European version of the Escape SUV
Ford last week ordered all of its workers outside of China to work from home for the duration if their jobs allowed
The company said that it decided to move ahead with closing its European plants following the Worth Health Organization's designation of Europe as the new epicenter of the coronavirus pandemic
John Rosevear owns shares of Ford. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy
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appears poised to further shrink its manufacturing footprint in Europe as the automaker invests heavily in electrifying its vehicle lineup
aims to boost profitability and sees its sales volumes in the region slipping
the Dearborn automaker has significantly realigned its European operations in recent years
abandoning less profitable vehicle lines and allocating resources to more profitable products including commercial vehicles and SUVs
But the reassessment might not be complete
The automaker reportedly is evaluating its plants in Saarlouis
according to media reports out of both countries
where the possibility of a plant closure has made national headlines and prompted concerns among workers
labor leaders and government officials
Management reportedly is in separate discussions with union officials to determine the viability of each operation
proposals each plant is slated to submit before the end of this month. A decision by Ford is expected this summer
but the automaker has not commented directly on the reports
the company said: “Aligned with our ambition to drive the future of mobility in Europe and become a leading manufacturer of fully connected
we are continuing to transform our industrial operations
but we have nothing further to communicate at this time."
The prospect of another plant closure comes as Ford has seen its sales in Europe slide amid the coronavirus pandemic, related supply-chain disruptions and the rollout of its electrification strategy for the region
where it aims to field an all-electric passenger-vehicle lineup by the end of the decade
EV commitments already have been made at many of the automaker's other plants in Europe
but Saarlouis and Valencia do not yet have any all-electric vehicle allocations
"Given this reduction in volume and this rationalization strategy
it's highly likely that Ford won't need all its plants," said Justin Cox
director of global production for forecasting firm LMC Automotive
Ford set off its latest round of restructuring in Europe in a bid to reduce structural costs in a region where U.S
automakers historically have struggled to gain footing
Ultimately, Ford cut about 12,000 jobs and sold or closed six plants across the United Kingdom, France, Russia and the Czech Republic. It also has cut shifts at both Saarlouis and Valencia
the company said it would exit less profitable vehicle lines
introduce new electrified options and focus on the segments where it does well
including SUVs and the commercial vehicle line that historically has been Ford of Europe's profit center
It's made these moves as it aims to achieve 6% profit margins in the region by 2023
"Ford's problem in Europe — it is too small," said Ferdinand Dudenhöffer
director of the Center Automotive Research in Duisburg
"The vehicles can actually only be sold in Europe
so there are always high development costs that make it difficult to work profitably."
And as competition from the likes of Stellantis NV grows
Dudenhöffer sees passenger vehicles continuing to be a challenge for Ford
potentially leading to further reductions
to CEO Jim Farley's move to stop making cars in Brazil despite the company's long history there: "He takes action if he feels it's necessary."
Last year, Ford pledged to electrify most of its European vehicle lineup by 2030
it is investing $1 billion to convert its Cologne
operations into an EV manufacturing center
which Ford is building on Volkswagen's MEB platform
is scheduled to roll off assembly lines there next year.
the company employs about 42,000 people in Europe and maintains a manufacturing presence in the United Kingdom
Romania and Russia at 10 wholly-owned plants and four unconsolidated joint-venture facilities
the automaker was selling roughly 1.4 million vehicles in Europe
the best result it had seen in European markets since 2009
a year when the pandemic upended the industry
It had not yet released full-year results for 2021 as of Friday
but they are expected to be worse than 2020 in part due to production cuts tied to the global semiconductor shortage
LMC Automotive pegs Ford of Europe's production volume at about 850,000 units last year
and they’re not going for market share," said Philippe Houchois
an autos analyst at investment bank Jefferies
"So that always raises the question whether your industrial capacity is adequate or not.”
Ford also has struggled to maintain profitability in Europe
it posted an $834 million loss. The automaker has not yet released full-year financial results for 2021
but through the first three quarters of the year
it netted a slim $5 million profit in Europe
it was getting squeezed a little bit," Cox said. Now
“it looks like the volumes potentially won’t be sufficient to maintain the footprint that they’ve got."
Uncertain futureEnter Saarlouis and Valencia
two plants with different product lines and workforces but both facing an uncertain future
according to numerous recent reports in the German and Spanish presses
Managers and labor leaders at both plants reportedly are preparing proposals they will submit to Ford in a bid to be part of the automaker's all-electric transition
most of Ford's plants in Europe are earmarked for EV investments
to convert a transmission plant in the U.K
assemble electric commercial vans at a plant in Turkey and build a new light commercial vehicle
has been allocated an all-electric product at this time
and Saarlouis currently does not have any product commitments beyond 2025
The Süddeutsche Zeitung, or SZ, one of Germany's largest newspapers, in late December reported that labor leaders were concerned that Ford might close another plant in Europe
and identified Saarlouis and Valencia as possible candidates
Ford's Saarlouis Body and Assembly Plant dates back to 1970 and in the ensuing decades grew to be a major economic force in Saarland
a southwestern German state bordered by France and Luxembourg where
tens of thousands of jobs are tied to industrial manufacturing
The plant has endured several rounds of job cuts in recent years amid Ford's realignment of its product portfolio and more recently pandemic-related production issues
It now employs fewer than 5,000 workers building the Ford Focus
chairman of the works council at Ford in Saarlouis
and workers expressed concerns to SZ about the future of the plant
Thal told the paper the plant would be submitting a proposal to the company
and media reports indicate management and labor leaders tied to the Valencia plant are preparing to do the same
dates to 1976 and currently employs roughly 6,000 workers building five models: the Kuga
though local media reports indicate that only the future of Kuga (the European version of the Ford Escape SUV) production is secure beyond 2024
six days before the deadline for the plant to submit a proposal to the company
management and labor unions were at an impasse
The paper said works council leaders are refusing to accept wage cuts even as management pushes for a 10% reduction in wages
a one-week reduction in vacations and a 30-minute extension of work shifts
As for how the two plants stack up against each other
media reports and industry experts point to Germany's higher labor costs as one factor that could count against Saarlouis
But one potential advantage for the plant is that Chinese company Svolt is building an EV battery plant in Saarlouis
"You kind of get the sense that it's pointing towards potentially Saarlouis as being the weaker proposition," LMC's Cox said
"But it's still up to Ford to make the decision."
christian_stuart.wilson@siemens.com
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