Ford Prepares for Historic Strike in Germany

Ford employees in Cologne, Germany, are preparing to launch the first-ever general strike against job cuts in their history.

According to the IG Metall union, well known for Tesla, this movement will start Wednesday morning. The two Ford sites in Cologne, founded in 1930 and currently employing 11,500 people, including 4,500 in manufacturing and 3,500 in product development, are at the heart of the conflict. Ford plans to cut 2,900 jobs by 2027, a drastic reduction compared to the 20,000 positions held in 2018.

IG Metall accuses Ford of lacking a strategic vision for its future in Germany, endangering the local subsidiary. The union demands a collective agreement guaranteeing generous severance packages and financial security for workers. Last week, 93.5% of members voted for collective action, an unprecedented mobilization aimed at increasing pressure on management.

Ford reflects European turmoil

The strike is likely to severely disrupt production, especially since the majority of employees are unionized. Ford stopped producing the Fiesta, Cologne’s icon, in 2023 to focus on electric models whose sales have disappointed despite 2 billion euros of investment. Last year, Ford accounted for only 3.5% of new registrations in Germany, down from 5% in 2022.

Ford is struggling to maintain its competitiveness in Europe, suffering from low sales volumes and high costs. Two extreme solutions are on the table according to unions: divestment of the European branch or a strategic partnership with a major European automaker to increase volumes and reduce costs.

The various actors involved in this social drama acknowledge the challenges Ford and the German automotive industry face amid technological transition and increased competition, including… Chinese competitors.

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