Ford is going to cut shifts at its assembly factories in Michigan and Kentucky, but will not lay off any workers, as all of the affected employees will get new jobs at other locations nearby, as reported by Automotive News.
The company will move 500 workers from the Louisville Assembly plant, where the Ford Escape and Lincoln MKC are made, to the Kentucky factory, which builds full-size SUVs and Super Duty trucks. Louisville will go from three shifts to two in spring 2019.
Ford’s Flat Rock factory in Michigan, which produces the Mustang and the Lincoln Continental, will go from two shifts to one. Most of the affected workers will be transferred to the Livonia Transmission plant 30 miles away, adding around 500 jobs in its facilities. Another 150 workers will move from Flat Rock to the company’s other facilities.
Ford said that the changes were necessary in order to boost production of the popular Expedition and Lincoln Navigator models by 20 percent at the Kentucky Truck factory. The company said earlier this year that they will build 25 percent more SUVs than originally planned due to the high demand.
“Our collectively bargained contract provides for the placement of all members displaced by the shift reduction and, after working with Ford, we are confident that all impacted employees will have the opportunity to work at nearby facilities,” UAW Vice President Rory Gamble said in a statement.