Ford's $9.2B Move from Michigan to Mexico
Pretty soon Americans - not Mexicans - will be sneaking across the border in search of employment.
Ford Motor Co., which is slashing jobs and closing plants in the United States as it seeks to return its North American operations to profitability, is preparing to invest up to $9.2 billion in Mexico [between 2006-2012] t0 leverage its low operating costs there, a Michigan newspaper reported on Wednesday.Just in case you white collar workers thought you were immune to downsizing.
The Oakland Press, a Detroit-area newspaper, said the investment was detailed in a confidential, 28-page document turned over to it by a Ford employee.* * *Ford spokesman Oscar Suris declined to comment on the report, calling it "speculative."
The newspaper said a second source familiar with Ford operations vouched for the authenticity of the document, "which suggested the automaker's investment could potentially create up to 150,000 jobs in Mexico within the next decade."
"The Way Forward - Mexico (offers an) opportunity to further leverage Ford of Mexico cost advantage and location to reduce corporate fixed costs," the confidential document said.
"We will leverage our global scale like never before and Mexico is a key partner as we're targeting lower fixed costs, better quality and speed to deliver our Way Forward plans," the document said.* * *
Under Ford's restructuring plan, which is dubbed Way Forward and was first announced in January, the automaker plans to close 14 plants and cut up to 30,000 hourly workers in North America.* * *The document also indicated that Ford expects to increase its purchases of Mexican-made components by 300 percent, while suppliers could increase their investment by $3.6 billion.
Ford, which is hoping to attract incentives from the Mexican government, also said it was prepared to shift some professional engineering and purchasing jobs to Ford of Mexico as part of the expansion plan, according to the document.
[Ford officials] also were considering making the announcement before Mexican voters pick a new president on July 2, because it might help boost Felipe Calderon, the conservative ruling party candidate.Crafty little boogers. They want to benefit both politically AND economically from the move.
Calderon is locked in a very tight race with leftist Andres Manuel Lopez Obrador. The documents suggest postponing any announcement would reduce risk of confrontation with the new government should Calderon lose in July, the Oakland Press said.
Earth to Americans - there's a message here, for those who can see beyond their nose.
It's up to Americans to show Ford and their corporate ilk that we won't stand for their sh*t anymore. Corporate status in America is a privilege, not a right. To keep it, you must earn it. We MUST take our nation and our lives back from corpocracy.