Ford India exit: What's on the cards for employees and dealers

Ford's India exit comes as a shock to its employees and dealers, as it directly affects more than 4,200 direct employees of Ford as well as all the ancillary units.

Ford India ceased manufacturing vehicles for sale in the country on September 9, following which, the manufacturing of vehicles for export from its Sanand vehicle assembly plant will close down by the end of 2021, while the same will be done at the Chennai engine and vehicle assembly plants by mid-2022. Since the last decade, Ford has suffered operating losses to the tune of $2 billion and a $0.8 billion non-operating write-down of assets in 2019. However, the move came as a shock to its employees and dealers, as it directly affected more than 4,200 direct employees of Ford as well as all the ancillary units.

Suresh, president, Ford Workers Union, said, “We have only one demand and that is employment. Around 4,200 employees get affected directly and indirectly, 25,000 get affected and all are dependent on Ford. There is also a doubt if any of us will get employment and our demand is that we want employment. We have given a letter to the management. Ford is a big car manufacturing company and we are shocked that they are at a loss that they can’t continue operations here. Management said they are ready to make a settlement. But settlement is a temporary solution. Either Ford has to continue operations here or whoever is taking over this company should assure continuity. The employees here have their average age 30-40 and this is at the start of their career.”