Ford faces possible strike action at its F-150 pick-up truck plant in Kansas City, Missouri, United States, according to an Automotive News report. The strike could happen as soon as Friday, says the report, citing the union bargaining chairman for Local 249, Todd Hillyard. Hillyard reportedly posted a message on social media saying, "The company refuses to address important issues around safety, seniority and manpower at KCAP [Kansas City Assembly Plant]. We feel we have no other choice at this point to reach a fair agreement. Strike duty is attached below in the unfortunate even we are not able to reach an agreement with the company by the Friday night deadline." These talks are separate from the national contract, which has been put on hold while workers at Fiat Chrysler Automobiles in the US vote on the agreement for the first iteration of the national contract. The national United Auto Workers contract has been extended indefinitely, the report says. According to Automotive News, a Ford statement said, "We work every day to avoid disruption of our production and we are confident we will be able to negotiate a fair and competitive labour agreement with our UAW partners.” There are about 7,000 workers at the Kansas City Assembly Plant, which builds the Transit van as well as the F-150. The issue is also made less clear by the fact that the UAW headquarters in Detroit issued a statement with a Saturday deadline. The report does not note what specific issues the two sides are currently unable to come to an agreement on.
Significance: Ford's Kansas City plant accounted for nearly 45% of production of the F-150 in 2013, and 54% in 2014 as Kansas City's changeover to the aluminium 2015 model-year truck took place later than that of the lead Dearborn Assembly Plant. These two plants are the only source for Ford's popular, high-margin pick-up truck. IHS had forecasted the KCAP would contribute about 259,000 units of F-150 production in 2015 and 370,000 units in 2016. A strike could reduce the figures, though by how much would depend on the length of the strike. F-150 sales are flat through the first eight months of 2015, hindered by limited supply due to the extensive changeover from steel to aluminium.
