Ford agrees voluntary departure plan at Almussafes, electric car production leaves almost 20% of employees out of work

Unions and management at Ford's Almussafes plant have reached an agreement regarding their Employment Regulation Package ( ERE ) after several weeks of negotiations. The same conditions have been maintained in terms of affected personnel, i.e. 1,144 workers out of a total of 5,900, but the compensations have been definitively defined.

This downsizing represents approximately 20% of the workforce, as Ford Spain had anticipated following its move of the head office to Almussafes. Negotiations have focused on the terms of the incentives as well as the early retirement program since the announcement of the ERA.

It is possible to benefit from a remuneration of up to 40,000 euros and early retirement

The decision to dispense with more than 1,100 employees is necessary for the electrification of the plant. Despite the low production of recent years, the factory has managed to obtain the allocation of two electric models. However, the goal of zero emissions requires less labor. The plant's current production is limited to a single car, the Ford Kuga , until the arrival of the zero-emission model scheduled for 2026. The Ford S-Max and Galaxy minivans will cease production this month. ci, soon followed by the Ford Transit .

Workers who voluntarily join the ERE ( Expediente de Regulación de Empleo ) before June 30 will receive an additional compensation of 40,000 euros, while those who do so until September 30 will receive 20,000 euros. This compensation is in addition to that provided for the dismissals themselves. Workers aged 54 or under will receive compensation for 45 days per year worked, with a maximum of 42 monthly salaries and a minimum pension. For workers aged 55 to 63, compensation will be provided under the terms of the agreement.

The majority of layoffs will be in the form of early retirement. Workers aged 53 or younger can benefit from the defined scheme, receiving 75% of their net salary until the age of 57, then 80% until the age of 63. Workers who retire between the ages of 55 and 56 will receive 80% of their take-home pay, while those aged 57 or over will receive 85% until age 63.

It is important to note that not all employees are eligible for this compensation plan, in particular those who have an interim or relief contract.

Only three Ford production sites in Europe will produce electric cars as the brand seeks to cut costs in Europe. It's part of a wider plan that also includes cutting 3,800 jobs at its German and UK factories over the next three years. The move aims to create a "more competitive cost structure" in Europe, according to Ford's statements last February.

With the impending electrification of vehicles, electric cars require fewer engineers and operators to manufacture. Thus, Ford will retain only three factories on European soil from 2025: those of Cologne in Germany, Craiova in Romania and Almussafes in Spain.

This transition to zero-emission cars aligns with the standards of Europe, which will ban the sale of new gasoline-powered cars from 2035, with the exception of e-fuels.