BORDEAUX, France, June 7, 2018 – Ford Aquitaine Industries (FAI) – Ford’s automatic transmission facility in Bordeaux, France – today confirmed it is starting an information and consultation process with its Works Council.
Ford also confirmed that its priority remains finding a viable new owner for the FAI site even as it pursues an information and consultation process on closure. The Ford of Europe taskforce established to identify potential candidates is coordinating with an external specialist company with extensive experience in securing potential new business owners. This work is making good progress, and more information will be provided when available.
“Ford is undertaking a number of actions to improve its fitness as a business globally. Included in this was a review of our industrial operations in Bordeaux, France,” said Steven Armstrong, president, Ford of Europe, Middle East and Africa. “It was determined the preferred option was to work to transition the FAI site to a third party that would receive incentives from Ford. A key consideration in the design of this idea was the care and concern for FAI’s employees. In addition to financial compensation guarantees, the company will work to identify potential workforce transfers.”
FAI has presented a comprehensive social plan that includes redeployment and early retirement programs, together with measures to help employees relocate with new employers should no new owner be found and closure follows.
In such a situation, FAI also has committed not to implement any involuntary redundancies before September 2019. This allows time for FAI employees to consider all the options FAI will present while giving them financial security. In addition, as part of the benefits of the social plan, all of those still working at FAI by September 2019 would see no reduction in their pay until the end of 2019.
Providing greater clarity about the future outlook for the site will provide FAI employees with sufficient time and information to consider all opportunities available to them.
Ford thanks the French government for its constructive engagement over the past months, and asks for the continuing support of the FAI workforce and the national and local authorities to help achieve a positive result for the FAI site.
“After engaging in a process with key stakeholders to try to find long-term opportunities for the plant, the priority now for the site is for a viable third-party purchase and we are committed to doing our best to secure a positive outcome for FAI employees. Our objective is to ensure any potential new owner has a sustainable business plan, and any agreement would work collectively in the interests of Ford, FAI employees, and the purchaser,” said Armstrong.
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Ford of Europe is responsible for producing, selling and servicing Ford brand vehicles in 50 individual markets and employs approximately 54,000 employees at its wholly owned facilities and approximately 69,000 people when joint ventures and unconsolidated businesses are included. In addition to Ford Motor Credit Company, Ford Europe operations include Ford Customer Service Division and 24 manufacturing facilities (16 wholly owned or consolidated joint venture facilities and eight unconsolidated joint venture facilities). The first Ford cars were shipped to Europe in 1903 – the same year Ford Motor Company was founded. European production started in 1911.
