$50K

It's not every day that a manufacturer offers hourly workers a $50K buyout package.

https://www.freep.com/story/money/cars/ford/2023/11/01/ford-deal-offers-uaw-members-buyout-who-qualifies/71410947007/

Ford deal offers hourly UAW members $50,000 buyout: Who qualifies

Phoebe Wall Howard

Detroit Free Press

The tentative agreement between the UAW and Ford Motor Co. comes with a special separation package being offered to hourly workers.

Listed on page 13 of a 36-page document called the UAW "highlighter" is a $50,000 buyout for an unlimited number of UAW members.

"Your UAW bargaining committee was successful in negotiating enterprise-wide buyout offerings for our legacy members," the document says. "The Special Retirement Incentive (SRI) will be for $50,000 (gross pretax) for an unlimited number of eligible production and skilled trade members. The sign-up period for the SRI will be determined by the national parties and all eligible applicants will be required to retire during the 2024 calendar year."

The eligible parties must retire by Dec. 1, 2024, according to the summary.

What isn't listed on the UAW website is who is eligible to apply for the retirement bonus. The Detroit Free Press confirmed who may apply with a UAW source not authorized to be speak on the matter:

Workers with 30 or more years of credited service
Workers age 55 or older with 10 or more years of credited service
Workers age 65 years or older with one or more years of credited service.

Image:Ford Motor Co. inspector Roderick "Treetop" Williams takes readings while checking the seal gaps on a Ford F-150 in the Body Shop at the Dearborn Truck Plant in Dearborn on Tuesday, June 6, 2023.

Ford has many UAW employees whose family members have worked for "Ford's" for generations.

Roderick Williams, 70, of Westland, told the Free Press in June that he planned to retire soon but didn't know when. He had been reporting to the Dearborn Truck Plant since 1970.

"I've been in the Rouge complex all my existence. When I first started out, I didn't care for it. The work was hard," said Williams, a second-generation factory worker. "Ford gave me a life that endured through time."

Williams has hit his 53-year mark and has not retired, Ford spokeswoman Jessica Enoch confirmed on Wednesday.

"I do my job. I get up at 3:55 and start work at 5:30 a.m.," he told the Free Press in June. "I'm just grateful of the fact that I was able to endure, to enjoy what I'm doing, coming in every day."

The UAW strike on the Detroit Three began Sept. 15. Ford reached a tentative agreement on Oct. 25. Some 57,000 union members who work for Ford began the ratification vote on Wednesday. The process is expected to last until mid-November.

There’s a reason UAW pushed so hard for Ford deal first, analyst says

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18 replies (most recent on top)

@1pir+1po5slnF wait until your "class" becomes unprotected like the older white guys. you will be singing another tune then. i had a high opinion of the older fellows who mentored me and showed me the ropes. not all white guys either. simple gratitude, it costs nothing.

That last post sounds read "Millennials and Zeros and younger", not boomers.

@4dym+1po5slnF is actually right. Boomers and Zers and even younger than that are set to die off early Between toxic jabs, illicit substance abuse (yes including toxic weed smoke), and the rest of their sedentary lifestyle (all day videogames, or Netflix binging anyone?), those generations will be dead by time they are in their early 60s.

So their immature thinking that death is better than retirement is out of necessity because they aren't long for this earth. I just pray they prepare for what comes next, but probably not. 🔥🔥🔥

@4dym - your comment illustrates your immature thinking.

Don't worry, my generation won't stick around su-king up all of the resources past our time.

@1pir+1po5slnF - Be careful what you ask for since I promise you that you won't be happy when it's you that is late career and you're getting shoved out the door because the next generation is impatient and wants your livelihood for themselves.

I believe wfh makes me more productive. My position / responsibilities typically are not ford facility dependent (i.e. plant, test lab, test track). Occasionally when they are facility dependent I promptly go in and get it done. What is wrong with that?

I hope Ford continues to thin the ranks of those who stay for greed. Younger people can't even start their lives because the gray hairs don't know when to call it quits. Ford should have stuck to their g-ns and gotten rid of all of them. But had to stop because of their bitter ageism complaints. You've already lived through the best economy and ruined it for every following generation. Get out of the way and go live in Florida and complain about DEI and Democrats.

Eat the rich baby. Pony up.

Trying to 'clear the deck' of senior UAW workers with wisdom.

I work at a plant. This happens every contract as a way to thin the union ranks that get a pension.

blah blah blah cry me a fucing river. Do you know how many 65yo people would pay to be 39 again??? quit your whining at 39 you haven't live long enough to whine.

post:
So people get to stay in for over 50 years, get a fat paycheck all the while I was laid off in June at 39 with only one month severance pay. Boomers should be forced to retire. That is a job that a younger man/woman with a family can use to support themselves. It makes no sense being that greedy.

10 hours ago by Anonymous | 14 reactions (+5/-9)
Post ID: @hvv+1po5slnF

$50K for a UAW worker is probably proportional to 6-8 months severance for salaried. So this buyout offer , and it’s qualifications, are in line with voluntary separation plans offered to salaried over the years.

Smart move for both sides and hopefully eligible UAW folks, like the 70 year old mentioned in the article, will take the offer and enjoy their health and family and hobbies in retirement.

Otherwise, for those staying too long, either salaried or UAW, makes one question “are they staying for the gravy train”?

Interesting… maybe that was the union’s concession for EV production requiring less labor

With the new UAW contract, we can’t afford all the workers, some must go.

So people get to stay in for over 50 years, get a fat paycheck all the while I was laid off in June at 39 with only one month severance pay. Boomers should be forced to retire. That is a job that a younger man/woman with a family can use to support themselves. It makes no sense being that greedy.

Yeah, these deals are great for someone that is blue collar. More power to them! Pretty sure blue collar still have Ford healthcare until 65.

However, for white collar voluntary or involuntary buyout for people not yet 65 that still have dependent children can be very very costly, as I have found out since I was involuntarily retired in 2022. The HRA money will not fully pay for your healthcare; it will cost me near 10k of my own money (yes, we need to see specialist for my back and my wife’s eyes issues) . Add to that the difficulty in getting another FTE job at my age, and it had not been a good experience.

Hopefully Ford will give salaried people a voluntary buyout offer.

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