Ford Motor Company is set to reassign approximately 1,400 workers from its Rouge Electric Vehicle Center, which manufactures the F-150 Lightning electric truck, starting April 1, 2024. This move comes as the automaker halves its production target for the electric pickup from 3,200 to 1,600 units per week.
Jessica Enoch, Ford’s director of manufacturing, quality, and supply-chain communications, stated that only one-third of the 2,100 employees at the Rouge facility will remain on-site. The remaining workforce will be transferred to other plants focusing on gas-powered SUVs and trucks. Specifically, about 700 workers will move to the Michigan Assembly Plant in Wayne, where the Bronco and Ranger models are produced. Additionally, another 700 employees are expected to accept a $50,000 retirement package negotiated with the United Auto Workers (UAW) union.
This workforce adjustment follows a previous reduction of 700 jobs at the EV plant in October 2023, attributed to supply-chain issues and quality control challenges.
Despite these setbacks, Ford reported significant growth in its electric vehicle sales in February 2024, with Mustang Mach-E sales increasing by 63% and F-150 Lightning sales up by 94% compared to the previous year. However, dealer inventories for the F-150 Lightning remain high, indicating a potential mismatch between production and consumer demand.
While the reassignment of workers aims to prevent layoffs, the shift underscores the challenges automakers face in balancing EV production with market demand. As Ford continues to navigate the evolving automotive landscape, it remains focused on optimizing its production mix to achieve both sales growth and profitability.