Ford Is Investing $9 Billion In US-Based Plants

Ford Plant $9 billion investment

Ford recently came under fire for building a new $2.5 billion plant in Mexico. Now the company has announced plans to invest $9 billion in plants located in the United States.

The investment pledge is part of the tentative labor agreement the automaker has reached with workers and the UAW.

The union seeks such commitments from every automaker because they tend to create and protect U.S. jobs.

GM has already committed $1.9 billion and Fiat Chrysler promised to invest $5.3 billion.

Ford’s investment will create or keep about 8,500 jobs over the next four years, according to the union.

In the last four years the second largest automobile manufacturer had added 12,000 hourly jobs, bringing its total workforce to 53,000.

In 2011 Ford committed to invest $6.2 billion in U.S. plants and ended up investing $10 billion.

The company’s plans for its $2.5 billion plant in Mexico came under fire by Presidential candidate Donald Trump. He has promised to slap a tax on any Ford cards and trucks made with Mexican parts or labor.

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Along with the investment promise, workers will receiveĀ an $8,500 signing bonus. Veteran workers will get a 3% pay raise, their first in a decade.

Additionally, the pay gap between veteran employees and those hired since 2007 will be eliminated over the next eight years.

Written by Lane Hanson

Lane Hanson

Lane Hanson is BusinessPundit's Economy Editor. He reports on major changes in the US and Global Economies. He can be reached at College Reviews.