The UAW strikes are in the rearview mirror, but their impact will echo for years to come. That’s the message from Ford CEO Jim Farley, who seems ready to extract his revenge.
Speaking at the Wolfe Research Global Auto Conference, the executive suggested the union’s heavy-handed tactics have put jobs at risk. As he stated, “we have to think carefully about our footprint” and where vehicles are made in the future.
If that wasn’t direct enough, the Associated Press reports that Farley said the “relationship has changed” and the strikes were a “watershed moment for the company.” He added, “Our reliance on the UAW turned out to be we were the first truck plant to be shut down.”
As a refresher, the UAW hit Ford hard as they went on strike at Chicago Assembly, Michigan Assembly, and the Kentucky Truck Plant. These facilities build highly profitable vehicles including the Aviator, Explorer, Bronco, Ranger, Expedition, Navigator, and F-Series Super Duty.
The latter model is massively important and the strike at the Kentucky Truck Plant was seen as an act of war. At the time, Bill Ford said “shutting down that plant harms tens of thousands of Americans right away – workers, suppliers, and dealers alike.”
More: Ford And UAW Reach Tentative Agreement To End Strike
The strike was particularly infuriating for Ford as they were the only automaker to add UAW jobs over the past 15 years. The automaker also noted they assemble more vehicles in America than anyone else and has largely resisted the temptation to move jobs to Mexico. As a result, the strike was effectively biting the hand that feeds.
Given all of this, it appears Ford is now looking south of the border. It remains to be seen if this is an empty threat, but moving production to Mexico has a number of benefits including lower labor costs.
