The deal comes at a time where tensions between OEMs and workers run high following a flurry of strike action in Autumn of last year, and with the Kentucky Truck Plant being one of Ford’s most productive, strike aversion brings a sigh of relief, for now…

Ford and the UAW have successfully reached an important, yet tentative agreement at the Kentucky Truck Plant, effectively sidestepping what could have escalated into another disruptive strike for the automotive manufacturing sector. Todd Dunn, the president of UAW Local 862, has officially confirmed the deal, with plans for a ratification vote provisionally scheduled to span from February 28th to March 1st.

Although the specifics of the proposed agreement, which touch upon crucial matters such as skilled trades, health and safety protocols, and various other core concerns pertinent to Kentucky Truck Plant autoworkers, have not been immediately disclosed, both parties seem eager to proceed with the ratification process.

Kentucky Truck Plant

The Ford Kentucky Truck Plant is one of Ford’s most financially successful

In a statement, Ford expressed its contentment with the tentative agreement, saying: “We are pleased to have reached a tentative agreement on a new labour contract with UAW Local 862 covering Kentucky Truck Plant and 8,700 valued UAW-Ford employees.”

”Ford is the No. 1 employer of UAW-represented autoworkers and 2024 is one of our biggest-ever new product launch years in the U.S. – with the all-new Ford Expedition and Lincoln Navigator launching in Kentucky, the new F-150 and Ranger in Michigan and the new Explorer and Lincoln Aviator in Illinois.”

The urgency to secure an agreement arose after a prolonged period of over five months without a local contract in place. The Kentucky Truck Plant stands out as one of Ford’s most productive facilities, boasting an impressive annual revenue of approximately $25 billion.

Ford Logo

”We are pleased to have reached a tentative agreement on a new labour contract with UAW Local 862 covering Kentucky Truck Plant and 8,700 valued UAW-Ford employees.” - Public statement by Ford

The looming strike threat materialised shortly after Ford CEO Jim Farley openly acknowledged the shift in the company’s dynamic with the union, particularly following the national strikes last Autumn, which he described as “a watershed moment.”

The announcement of the strike deadline by the union occurred swiftly after Farley’s candid assessment, prompting UAW President Shawn Fain to question the necessity for potential leadership changes within Ford.

The exchange between Farley and Fain underscores the complexities inherent in labour-management relations within the automotive industry, particularly during periods of significant technological and strategic transition