Ford Reaches Agreement With Union and Will Compensate 4,000 Workers After Factory Closure in Bahia

Written by Fabio Lucas Carvalho

Published on 12/05/2021 at 17:35

Foto: stimcamacari

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Ford Closed A Major Deal With The 4,000 Workers From The Camaçari Plant In Bahia. The Plant Will Be Closed

The Ford and the Camaçari Metalworkers Union in Bahia finally reached an agreement for the compensation of a total of 4,000 workers from the plant that is about to be closed. The agreement took place during an assembly on Wednesday morning.

The Estadão reported that the agreement between Ford and the metalworkers’ union was approved almost unanimously. The agreement provides for the payment of all rights upon termination of the contracts of the workers. Additionally, the personnel working in production will receive two extra salaries for each year of work.

The minimum amount to be received is R$ 130,000 from Ford for each worker. Even if the amount is less than R$ 130,000, Ford will guarantee payment.

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The agreement also provides for the granting of six months of health insurance through the union. Additionally, workers in medical occupations will receive an extra compensation paid by the American company. The company issued a statement stating that it will undertake other actions, as well as a qualification program for the 4,000 employees, in addition to support for the relocation of these individuals in the job market.

“In addition to the items stipulated in the agreement, Ford is already offering a worker qualification program and will also provide support for reemployment through the hiring of a specialized company“, says a section of the statement released by Ford.

The union highlighted that there were a total of 33 rounds of negotiations between Ford and the workers. All of this occurred with the mediation of the Regional Labor Court.

Reasons For Ford Leaving Brazil

Ford’s exit from Brazil was a significant blow to the national industry. After decades in the country, the company announced the closure of plants in Bahia and the interior of São Paulo. Together, nearly 5,000 people will be left unemployed with the company’s departure from the country.

Change In The Company’s Focus

At the time, Ford stated that the decision was due to the worsening health crisis in the country, the persistent idle capacity of the company in the country, and the reduction in sales. However, market sources report that the true reason is the focus on the production of SUVs and Trucks, in addition to the electrification of the market. Thus, the company chose to leave Brazil and only sell imported products.

Ford Reaches Agreement With Union and Will Compensate 4,000 Workers After Factory Closure in Bahia

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Change In The Company’s Focus

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