German Ford workers to go on strike

FRANKFURT: Thousands of workers at a Ford car plant in Germany will go on strike this week after the US manufacturer announced massive cost-cutting plans, a union said Monday.

It was the latest sign of the struggles facing the auto sector in Europe, where carmakers have been hit by weak demand and a choppy transition to electric vehicles (EVs).

About 11,500 workers at Ford´s Cologne plant -- which has been operating since 1930 -- will stage a 24-hour strike Wednesday over conditions and job security, the IG Metall union told AFP. The union had broken off negotiations with Ford last Thursday and said it would not resume them until the company presented “an acceptable offer”.David Luedtke, IG Metall representative at Ford in Cologne, said the union’s key demand was winning a guarantee that the manufacturer would stand by its embattled German subsidiary.

In November Ford announced 4,000 job cuts in Europe, mostly in Germany, by the end of 2027, saying it was seeking to ensure the company’s future competitiveness on the continent.This followed an announcement of thousands of job cuts in Europe in 2023.

It has spent $2 billion converting the Cologne plant for EV production, but EV sales in Europe have tailed off in the face of high up-front costs and sparse charging infrastructure.

In March, Ford said it would inject billions of euros into its German subsidiary to help keep it afloat and that it was looking for ways to trim production costs.Germany’s auto titans such as Volkswagen, BMW and Mercedes-Benz are also facing problems, with their profits hit hard by fierce Chinese competition and rising costs.