Strike at Ford Germany in support of insolvency safety net #NewsGerman

Germany’s IG Metall trade union has called its members out on strike from Tuesday at Ford plants in Cologne after the US company rejected demands on severance pay and an “anti-insolvency safety net.”

The strike would affect all three shifts from late on Tuesday up to Thursday, IG Metall said amid plans to cut staff at the plants.

The strikes aimed to show that workers were solidly behind the IG Metall demands and were in support of demands that management had to make a significant move towards the union in talks on a social wage agreement, it said.

“We are continuing to demand a durable concept for the future for the Cologne production sites and the retention of as many jobs as possible, but we also need a safety net against insolvency,” IG Metall spokesman David Lüdtke said.

Ford recently terminated a financial guarantee for its German subsidiary dating back to 2006 after making a large financial injection that largely cleared Ford Germany’s debt.

The termination of the guarantee had shaken the workforce’s confidence, Lüdtke said. The move by the US parent means that Ford Germany could go insolvent.

While Ford Germany has ruled out compulsory redundancies up to 2032, it has become clear that the jobs there are not as secure as previously believed.

Management has pointed to investment of several hundred million dollars for a business plan aimed at reversing the company’s decline and insisted that termination of the guarantee is not an indication of a lack of Ford engagement in Europe.