Ford has no plans for St. Thomas plant after 2011

lincoln_1999

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Ford has no plans for St. Thomas plant after 2011
Tue, July 7, 2009


"Staggered in recent years by layoffs and slumping sales, the Ford St. Thomas assembly plant has been dealt what may be its final body blow.

In a recent meeting with Ford of Canada, Canadian Auto Workers union officials were told all three vehicles made at the plant will be phased out — and no replacement vehicles are planned after 2011.

"You do not have to be a rocket scientist to figure it out. If we do not have a new product they will close the plant," said Scott Smith, chairperson of CAW Local 1520 at the plant.

"There are a lot of people's livelihoods at stake here and it is hard for people to hear what the reality is."

But Ford stopped short of saying it is a plant closure — meaning the CAW will work for two years to bargain with Ford and lobby for provincial and federal government support to retool and try land a new vehicle for the plant, he added.


"The fact of the matter is we have a lot of work to do and we all have to come together to make this happen," said Smith.

While Ford announced after its 2008 agreement there was no product planned for St. Thomas, this announcement goes further in saying there is no chance for an extension, said Dennis DesRosiers, national automotive analyst.

"It is nothing new, but they have not been as firm as this appears to be," said DesRosier. "This plant has been on the bubble for a long time. It does not look good."

The plant Wednesday begins a six-week summer shutdown. It has just over 1,400 hourly employees and less than 100 salaried workers.

The CAW's meeting with Joe Hendricks, vice-president Ford of Canada was held in Windsor Monday afternoon.

The St. Thomas plant assembles the Crown Victoria, Grand Marquis, and Lincoln Town Car, all large rear-wheel drive cars, and Ford is already positioning the Taurus to take over its fleet taxi and police-cruiser sales, and has a replacement planned for the Town Car. It will cease production of its slow selling Grand Marquis, said CAW national president Ken Lewenza.

Those vehicles would need a redesign and new technology investment to meet new fuel and safety standards, and Ford made it clear it is focusing on new, fuel-efficient vehicles and not big cars, said Lewenza.

"All of the cars now made in St. Thomas would need significant investment.

They are looking for alternative vehicles," said Lewenza. "They need to make a huge investment, and they will not make it on these products, that was clear," he added."





http://lfpress.ca/newsstand/Business/2009/07/07/10053486.html
 

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