Additional Challenges: Further intensifying the cost pressures on Ford is a tentative agreement with the UAW that entails a 25 percent wage increase for 57,000 workers over five years. According to CFO John Lawler, this new contract is expected to add $850 to $900 in labor costs per vehicle. This development was particularly impactful, as Ford estimated that the UAW’s 41-day strike resulted in a loss of 80,000 vehicles in production, costing the company $1.3 billion and effectively erasing $1.2 billion in third-quarter income.
Ford’s Electric Vehicle Gamble: $1.3 Billion Q3 Loss Amidst Slowing Demand
EV Challenges Pose Serious Threat
