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HomeTechFord Will Put $3.7 Billion Into U.S Factories & Add 6,200 Union...

Ford Will Put $3.7 Billion Into U.S Factories & Add 6,200 Union Jobs To Make More Electric Vehicles

With a goal of selling 2 million electric vehicles a year worldwide by the end of 2026, Ford announced Thursday that it would invest $3.7 billion to create 6,200 new union manufacturing jobs in Michigan, Ohio, and Missouri.

Workers in Michigan, Ohio, and Kansas will be hired with the new money, as well as healthcare for new hourly employees and better working conditions at these factories. Ford made the hiring investment one year ahead of contract negotiations with the United Auto Workers union in 2023, noting this as a significant point of differentiation.

Ford shares rose 1.85% in morning trading on the news.

The F-150 Lightning pickup truck and a new EV commercial vehicle, both of which are expected to go into production by the middle of the decade, will both benefit from the increased funding for Ford’s EV factories. Ford, on the other hand, says it plans to use some of the money to produce a new Ranger pickup and Mustang coupe in its gas-powered vehicle factories.

Ford plans to convert nearly 3,000 temporary employees to full-time status as part of its hiring strategy. In addition, the automaker plans to invest $1 billion over the next five years to improve working conditions at its U.S. factories, including better lighting in parking lots, EV charging, and healthy food access.

A few months ago, Ford announced a plan to split the company into two separate entities. In addition to Mustang, F-150, and Bronco gas-powered vehicles, the Ford Model e unit is in charge of the company’s electric vehicle research and development and connected car services.

In total, three Michigan assembly plants will receive the bulk of the investment announced Thursday, approximately $2 billion. Funding will be provided to the Rouge Electric Vehicle Center in Dearborn so that it can increase F-150 Lightning electric truck production to 150,000 units annually. The Michigan Assembly Plant in Wayne will build a new Ranger pickup, and the Flat Rock Assembly Plant will build a new Mustang coupe.

In addition to the 1,800 union jobs at Ford’s Ohio Assembly Plant, the company plans to invest another $1.5 billion and create an additional 90 jobs and invest $100 million between Lima Engine and Sharonville Transmission to build an all-new EV commercial vehicle starting in the middle of the decade.

Toyota plans to hire 1,100 union workers for a third shift at its Kansas City Assembly Plant, Missouri, to increase production of the Transit and the all-new E-Transit electric van, which is due for release in 2018.

Kelvin is the founder and CEO of 360Affairs, a content creation company. He's been a content marketer and SEO expert for over 5 years and writes for different platforms on blogging and website strategy.


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