Ford may soon face another strike – this time in the U.K.
- Ford's white-collar staff across the U.K. has rejected its pay offer.
- Unite members are now warning of a strike against the automaker.
- $F is currently up roughly 15% versus its year-to-date low.
U.K. based white-collar staff at Ford Motor Co (NYSE: F) has rejected a pay offer and is at the brink of a strike against the automotive giant. Shares of the multinational still opened in the green today.
Unite members could strike against Ford
Copy link to sectionUnite – one of the largest trade unions in the United Kingdom accused the New York listed firm today of refusing to negotiate even though more than 90% of its salaried staff and managers have rejected the offer.
Ford Motor, however, says it’s been in talks with employee representatives in recent weeks.
Whilst trade union members have voted internally to reject the offer, Ford remains willing to continue dialogue through our established bargaining frameworks on the fair and balanced offer made.
Ford stock is up roughly 15% versus its year-to-date low at writing.
What’s wrong with Ford’s pay offer?
Copy link to sectionUnite claims the offer from Ford suggests actual wages of the salaried staff “will not increase this year. It also doesn’t provide “guarantee of a cost-of-living increase” to managers either.
The union is warning of a strike because the automaker has allegedly proposed changes to absence processes as well even though it agrees that it’s not facing a problem with staff attendance.
$F can “fully afford no strings pay offers” after coming in ahead of Street estimates in its fourth financial quarter and signalling a healthy year ahead last week (read more), the union added.
Wall Street currently has a consensus “hold” rating on Ford shares.
