Ford Motor, the second largest US automaker, announced it decided to hire 1,550 workers at four factories to increase production of the new generation aluminum-bodied F-150 pickup truck due to increased demand.
Ford added that besides the new jobs, it was also or the first time promoting union-represented workers from the lower entry-level salary to the veteran worker wage – with 300 to 500 workers being awarded the promotion by the end of the first quarter. The two-tier wage system was designed by the United Auto Workers union and the three major US automakers back in 2007. The union and the carmakers agreed that new hires would fall in a different payment category than veteran UAW workers – seeking to make the Detroit three more competitive with foreign automakers that had factories in the US in non-union states. The UAW and Ford agreed that a maximum 20 percent of its assembly workers could be entry-level – or second-tier employees – and by January the carmaker would have already exceeded the 20 percent limit.
The new 1,550 jobs have been broken down in 900 allocations to the truck plant in Kansas City – while the rest would be spread among three stamping, auto parts and axle plants near Detroit. The company did not say how many of the new jobs were coming as initial sales of the 2015 F-150 exceeded production levels – though the model is the primary contributor to the F-Series sales. The truck lineup has been the best-selling vehicles in North America for years and have a major contribution to the profit tally of the company.