Thread regarding Ford layoffs

C'Mon It's a Taxpayer Bailout for Ford (and others).

Why is this a taxpayer issue?

Ford introduces a layer so they are not directly in the spotlight.

At least the US received some of the money back in the last bailout of the industry.

Ford Authority: Despite strong Q1 sales across the entire automotive industry, new vehicle inventory continues to shrink amid the ongoing microchip shortage. Ford’s production has taken a major hit in recent months, as the automaker lost a total of 44,000 units last week alone as a direct result of the microchip shortage. Now, Ford-backed interest group Alliance for Auto Innovation wants the government to intervene.
Specifically, the group wants the U.S. Commerce Department to dedicate a portion of funding to a bill that proposes expanded semiconductor chip production in the U.S. That funding would “be used to build new capacity that will support the auto industry and mitigate the risks to the automotive supply chain evidenced by the current chip shortage,” Alliance for Auto Innovation chief executive, John Bozzella, wrote in a response to a government-initiated review.
Bozzella also said that the U.S. government should ensure that “a particular percentage – that is reasonably based on the projected needs of the auto industry – be allocated for facilities that will support the production of auto-grade chips in some manner.” Bozzella warned that if the government does not intervene, the chip shortage could disrupt production for another six months and result in 1.28 million fewer vehicles being built this year.
That projection is far grimmer than Ford CEO Jim Farley‘s prediction that the crisis would be over by the start of Q3. While FoMoCo and other automakers are currently adjusting their supply chain strategies to help mitigate the effects of the shortage, White House officials will meet with both chipmakers and automakers next week, while President Joe Biden is also seeking $37 billion in funding to boost chip production in the U.S.

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Post ID: @OP+1aeDgLua

7 replies (most recent on top)

We don’t need any more chips. We need less complicated electronics,vehicles,& houses. What about returning to basics?

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Post ID: @3syq+1aeDgLua

Tesla built factories for its batteries. Ford asks the government for microchip factories. People notice.

Tesla market capitalization: $644.78 Billions
Ford market capitalization: $50.96 Billions

Thanks

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Post ID: @1fim+1aeDgLua

Why is Ford the only Company hit hard by this problem? I smell the BS

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Post ID: @1frf+1aeDgLua

Intel is back baby! I live in the USA, I use chips made in the USA. I eat chips made in the USA.

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Post ID: @1gep+1aeDgLua

Amen @cea+1aeDgLua
The bonus culture in corporate America leads to short term thinking.
Witness the banks, investment corps, auto industry etc.
Execs lobby Washington to distribute the cost of their mistakes to the taxpayers, all the while lining their own pockets with bonus money - and of course laying off workers and offshoring work and manufacturing.

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Post ID: @wpf+1aeDgLua

Because (major) corporations/companies run on this simple philosophy - Privatize profits and socialize losses.

When things are good, cook the books, hide money overseas and/or move money around to make everything look great for the shareholders.

When things tank, layoffs, pay reduction and if things don't turn around quickly, beg the government to help out.

As one of the struggling middle class, I am told to keep 6 months of cash around for lean times. (I keep a year myself.) Companies don't seem to do the same, yet they can always find the money for stock buybacks and executive bonuses.

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Post ID: @cea+1aeDgLua

Why can’t Ford build a chip factory in the US, and take responsibility for the necessary supplies to build vehicles?

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Post ID: @yfg+1aeDgLua

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