Ford to lay off 24,000. Temporary stop of production at Claycomo, MO plant near KC
 

Ford is having a bad year in 2018. Its stock is down 29%, and the tariffs imposed by President Trump have reportedly cost the company $1 billion, as the company is in the midst of a reorganization. Now, the company is announcing layoffs.

Jim Hackett, Ford’s CEO, is working to engineer a $25.5 billion restructuring of the automaker, hoping to cut costs and remain competitive, the Wall Street Journal reports. But auto sales are down, and one reason is the trade tariffs that Trump has imposed on metals and other goods. According to Bloomberg, Hackett has said they have already cost the company $1 billion in profit and could do “more damage” if the disputes aren’t resolved quickly.

Ford, the No. 2 U.S. automaker by sales, is making aggressive job cuts as part of that reorganization, NBC News reported. While the company hasn’t said how many jobs will be lost, a report from Morgan Stanley estimates “a global headcount reduction of approximately 12 percent,” or 24,000 of Ford’s 202,000 workers worldwide.”

While reports have indicated that the job cuts are likely to come early next year, The Kansas City Star reported Tuesday that Ford has temporarily halted production of transit vans in Claycomo, Mo. The move is intended to prevent a build-up in Ford’s inventories of the vans, but it will leave 2,000 workers idle between Oct. 22 and Nov. 4.

Despite news of the layoffs, Ford’s stock closed down 3.4% Tuesday.

At a time when automakers are scrambling to prepare for self-driving cars, Ford is also struggling to keep pace with the rest of the industry. September was a bad month for U.S. auto sales—with aggregate sales down 7%—but Ford’s drop off was even more severe. Ford said its sales of its vehicles declined 11.2% last month, with sales of its best-selling F-Series pickup trucks down 9%.

U.S. carmakers are notoriously bad at marketing. I really try to by American products, but cars are never that appealing to me. I have owned one U.S. made car, and that was a Jeep.

I drove by the old Woodlands last week and I thought I saw a bunch of those Transit vans parked there. Does anyone know if that's the case?

that's just where all the kidnappers congregate.

At best....misleading thread title.

Nuk, nuk, nuk ROFL

How do you figure?

thank u daddy turmp

Damn best seller is the f series truck they be screwed , as that's the biggest pile shit truck going. I'd drive a dodge before a ford

Work at the plant. That Transit layoff has been in the books for a long time. Nothing to do with the salary side job cuts.

The bulk of the 202K layoffs worldwide are management employees. Middle managers and other white collar jobs. Not factory workers.

That's a YOU problem. Their marketing is fine. The cars are as good as they've ever been.

Well, it kind of implies Claycomo is going to be shuttered. Probably ought to say "to temporarily stop"

Off to the DC in 3.......2.......1....

Shouldn't be moved.

Give you an idea of how bloated management is.

Line Foreman->Assistant General Foreman->General Foreman->Assistant Truck Chassis Manager->Truck Chassis Manager->Assistant Plant Manager->Plant Manager


We aren't even in the offices yet.

that must explain the reason trucks cost nearly $50k or more.

Isn't Ford on schedule to phase out all passenger vehicles in American markets?

I think the Mustang is the lone exception at present.

Just trucks, vans, SUVs and commercial vehicles from here on out.

That is what I heard, which shocked me.

This was inevitable if it were true.

Some version of the Focus was going to stick around as well.

Mustang and Focus Active, though the latter was supposed to import from China, and may have been cancelled (thanks Donald)

All of the US automakers are struggling with it.

Asian sedans rule their segment. For the US makers, people want SUV's.

Crew cab 4x4 are 70k

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Yes

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Wow...terrible news.

Wouldnt surprise me the old Metro North Mall parking lot is full of them.

Oh shit.

AMEN.


I'd say that logic dicates the real culprit would be the Ford company, who steadfastly and constantly manufactured overpriced, yet inferior automobiles...

In ‘05 F250 Diesel crewcab cost $40,000 the equivalent to that truck today is $93,000. ‘05 has 300k on it. Daily driven and hauls a 35’ 5th wheeler all over America.

I don't think I'd go that far.

I went from a Saturn Outlook to a GMC Acadia (basically the same SUV with a different logo) and then to a Toyota Highlander before finally buying a Ford Explorer.

The Explorer is by far the nicest of the 4 and it was also the lowest in price. The Toyota was actually the most expensive and had so many defects and warranty issues that we ended up dumping it after 14 months.

I remember the good old days when Democrats would just assume corporate execs were less than forthright folks. And didn't automatically trust their take on events, esp ones leading to layoffs.

a few years back I thought I'd like a truck; until I saw 7 year old trucks with 150k+ or more for $24k+. I just figured new ones were crazy priced. I've seen on some commercials an "as shown" for $60k in the fine print.

that is incredible to me.
unless I needed a truck for work....i'd rather just drop $30k on a nice used Corvette.

Damn, I knew Dee laid the hammer down good Sunday...

If Ford ever decides to do me right for the POS Ford Focus with the crappy transmission they sold me, I might consider them for the next purchase. Otherwise, my next car is a Tesla, or from Honda, who actually has the most "American" lineup you can buy (love our 18' Odyssey).

They had a settlement on those.

:eek: wow, holy crap, that is almost like our Government.

Looks like I missed out on my $275 for being in the shop 4 times under 70k miles). Once that 100k mile point passes, its only a matter of time before most Focuses will be too expensive to drive due to that transmission.

No, no they aren't unless you are getting every ****ing option on the planet.

But lets not act like $50K isn't a lot for a truck.

There was more to it than that, but might be too late on yours. Mine was totaled in a wreck so got "lucky", I guess, but one of my work buddies forced a buyback in arbitration.

Ford's cars SUCK, they look like they are stuck in the 60's. They have nothing that excites me as a car buyer.

If it wasn't for their truck division they would be the KMART/Sears of the Auto industry.

Old stagnant management......

My answer to that question would be best answered in DC.

They haven't given a shit about their cars in years. Trucks bring them insane profit margins. It's not too far off from 10k per.

So, it sounds like a market shift similar to the recent Harley-Davidson move.

Ford was the public darling a decade ago for not taking a Government handout, even though billions were funneled through the electric car division.

I have never been a Ford fan, but I suspect they will be just fine once they make the needed changes.

We just returned from a 2600+ mile trip to Virginia Beach and I was shocked at the number of SUVs on the road. It is dramatic. There must be a hundred options and I think Buick must offer a dozen. :eek:

I would blame their ugly car lineup followed up by getting rid of everything but the mustang. This is not just them, Chevy is ugly as **** too. Only decent American cars seem to be dodge.

Other than that, Honda, Kia and Hyundai are killing are great reasonably price cars that look decent.

And vehicles especially competitors are lasting much longer. They need to at the costs to get new.

Shit man. Tell me about Truck prices.
I lost my 2006 Toyota Tacoma and just bought an 2018 Toyota.
Hard to believe I owe more on a truck then on my house

And bring back the ****ing small truck.

Also, if they want to get more money and stay profitable. Maybe not sell the gt so cheap. If you sell for 275k and it is flipped for 1.5mill maybe you should raise it to 750k at least?

2nd money idea. Limited release trucks and cars. Say a 1000 a year. This year would be a 1950 truck with updated tech inside it. Next year a 53car.

They're bringing the Ranger and Bronco back relatively soon.

Bronco will have solid axels so should be a very good offroad capable vehicle.

How much would it cost to reconfigure an assembly line to produce something in such limited quantity? That seems like an incredibly expensive and risky proposition.

Ranger is mid sized like the colorado. I believe the bronco will also be off the same platform.

Ah, you meant F100 and old Ranger size

Yeah, it makes pretty much no sense from a financial standpoint.

Right now on a lot in Little Rock at Crain Auto Group there is four 2019 crew cab 4x4 with every option and it is 119k.

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Well considering they have tons of lines not being used nationwide they just need to pick one. All of these trucks would also have a premium cost and high profit margin.

You could rise it to 2500 and probably still sell out, might need to have a few more options at this amount.

Most of the designs are already out there for conversions.

If you're thinking you got it bad, try living in a van down by the river! :D

We can't build Raptors here because the frames are 4 inches wider than standard on either side.

Who makes the trucks in that scenario? Temps?

Incredible. I can get 2 Mercedes for that.

Everyone and their brother has bought a new Ford Pickup in the last five years. Now the Dodge and Chevy are starting to cut into their market share because their shit no longer looks dated. Plus, its not like everyone can keep buying 70k vehicles year in and year out.

Yes, the used truck market is insane. Part of the problem is no one buys normal trucks anymore. They're all ginormous crew cab behemoths loaded down with every feature you can think of. When I was in the market a couple years ago I wanted a full-size regular cab/short bed 4x4. You know, something that would fit in my garage. I may as well have been looking for a ****ing unicorn.

And then to find something rust free is a challenge, I don't know what it is about trucks but you're hard pressed to find anything more than 10 years old that isn't rusting all to hell. Meanwhile, my 2002 Grand Cherokee doesn't have a speck of visible rust and neither did the 2005 Toyota Solara that we just recently sold.

I ended up paying way too much for a 2011 Dakota because I wanted something rust free, thing was immaculate with no sign of any rust but within 6 months...here comes the rust bubbles above the rear wheel lips.

:D Kind of sad it is all the way up to 70k after 15 years.

Winning
Maga

Isnt Ford bringing back the Ranger.

So you want Chevy Luv size. Thats a worthless size in a truck. Kinda like a small soft drink at sonic 2 pulls and its gone.

None of this says anyone in KC is being laid off. Just that they are idling the line at Claycomo so unsold inventory of the vans doesn’t build up. Seems like they do that every now and again.

But Ford did make the conscious decision to focus on trucks, vans, and SUVs. May not prove to be a real sound business strategy

It's effectively a 2 week layoff. Nothing unexpected. Truck side usually does their idling/layoffs around the 4th of July and Christmas.

I live very close to that plant and have neighbors and friends that work there. This is just part of working at a auto assembly plant and they still get payed during the layoff.

Yep. Unless you're living paycheck to paycheck layoffs are ****ing awesome. 85% pay to do **** all.

Nutthooks this has nothing to do with Dee Ford blasting Kase Keenum

What's the most interesting thing you do at your job?

Put 8 nuts on and shoot 4 bolts. 600+ times a day. 4 or 5 days a week. In other words, ****ing nothing.

This was pretty hilarious. Machine that picks the frame up just said **** it and dropped half of it.

Agree with the 1st part.

As for the 2nd part, it's not so much a good or bad decision as it is a necessity. People don't want cars, they want SUVs. In the event they do want a car, they mostly want a Camry.

YES YOU ARE THE SOB WHO BOUGHT THE LAST ONE! :cuss:


I would have already done my damndest to talk you out of that thing if it wasn't black.

My wife just bought a Mazda CX-5. Her previous vehicles:


2005 Solara (2 door Camry)
2004 Camry
1998 Camry
1993 Accord
1988 Camry


So yeah, that's accurate.

Ford is putting heavy development into automatic driving.

I think they see where things are heading and are doing the right thing by killing the sedans they make as well. Ford isn't going anywhere but they are evolving.

I don't understand how self driving cars fit into the equation...we'll still need the cars.

And personally, I don't see the self driving thing happening anytime soon. Are people really willing to pay what it will cost for such a feature? I'm not, cars are too damn expensive as it is.

They've got multiple lines of business, particularly internationally, that are bloated with multiple layers of middle management.

The largest portion of the global layoffs are white collar jobs that are being eliminated simply because the organization is too complex and inefficient.

As Ford shifts focus solely to SUV's, trucks, and driving automation, the entire organization from the office to the factory floor can be streamlined.

So they're just looking at developing the self driving tech, not necessarily the vehicles to apply it to?

The old rangers and s10s would do great with being able haul light stuff and have 4wd capability plus mpg. Not everyone needs huge trucks.

Hopefully honda makes one since no one else is making what people want.