By on May 2, 2013

Lower gas prices and a turn-around in the housing market rekindled America’s love for the pickup, resulting in 2,000 new jobs at Ford’s Kansas City Assembly Plant.

The near doubling of the plant’s staffing is in response to surging demand for the Ford F-150 and the 2014 production start of the new Ford Transit. Suppliers are expected to grow their business accordingly. “According to the job multiplier effect of nine jobs to every one – more than 18,000 jobs will be created to support the plant,” Ford says in a statement.

Ford is investing $1.1 billion to retool and expand the facility for production of both the F-150 and Transit, including a 437,000 sq.-ft. stamping facility and a 78,000 sq.-ft. paint shop.

Ford says the expansion brings it “three-quarters of the way to its plan to create 12,000 hourly jobs in the U.S. by 2015.” That target was set in a deal Ford had cut with the UAW in 2011.

According to Reuters, “about 1,000 of the workers will be hired at the entry-level wage. Entry-level workers start at $15.78 an hour or nearly half the pay of traditional unskilled blue-collar Ford workers.

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13 Comments on “Ford Creates Jobs By The Truckload...”

  • avatar

    The good thing about increases in truck sales driven by low gas prices and a stout housing market is that history proves they are inherently reliable and stable long-term and never ever stop.

    Honestly, I hope the domestics learned something from the last time this happened and are not over-investing in a truck boom that *is* going to collapse once gas noses over $4/gallon again.

    At least now they have a lineup of good competitive cars to fall back on in every market segment. That wasn’t really the case the last time truck sales tanked.

    • 0 avatar

      I completely agree with you and was just about to post the same thing. I keep thinking about the late 90s and the huge SUV boom. When Ford was giving out free PCs to their employees, I kept thinking, “Please tell me that you’re investing some R&D into fuel efficient and smaller vehicles so that when cheap-gas dries up, you’re not panicking.”

      I also agree with you that Ford now has a pretty good portfolio of products, ranging from small/fuel-efficient to mid-size to SUVs.. Where they’re hurting is larger cars (Taurus) and luxury vehicles (*cough* Lincoln).

    • 0 avatar

      As a Ford shareholder, I would like them to invest in the vehicles that have the highest rate of return, not the vehicles we think Americans should be driving, or the vehicles they will drive when gas prices spike at some unknown point in the future.

      I think Ford’s small, fuel efficient offerings are much more competitive this time around than they were in, say, 2005. By all means diversify your product portfolio, but don’t allow yourself to miss out on opportunity because the market may be fickle.

  • avatar

    The big difference this time is that Ford hasn’t neglected the fuel efficient small cars. At the very least, what they’re offering is competitive with all the other major players.

    • 0 avatar

      Also, the market for F-150’s will probably tank the day gas hits $4.00/gallon. And it’ll come back the day gas drops back to $3.95/gallon. Bottom line: Given a choice, most Americans don’t want small, fuel-efficient vehicles. And that’s always worked in the pickup trucks favor, in the long run. Americans can always justify a big car/truck.

      • 0 avatar

        Then, it was personal luxury coupes. Now, it’s personal luxury trucks.

        Let’s face it, America has a love affair with faux luxury and 15mpg in all its forms.

  • avatar

    I believe that people have become accustomed to higher gas prices and are no longer willing to make trade offs for such, Americans have a totally different mindset then most of the world which sets us apart.
    There are so many factors in favor of buying bigger vehicles that make small things such as gas prices have become irrelevant.

    The ones truly hurt by gas prices are the small business owners who have to stretch every penny and be able to keep up with the chains, coincidentally their also the first to feel loss of sales as people have less money (from among other things gas) to make purchases, which are either postponed or bought from chains that have the capital to offer better deals/payment plans.

  • avatar

    Gotta love extremely low margin fleet sales to keep the lights on…….Ford will be hurting big time when the market tanks again.

    • 0 avatar
      Dave M.

      That said, they keep churning out the profit makers don’t they?

      The F-150 is gorgeous. Too bad I’m too cheap to want less than 25 mpg…

      • 0 avatar

        Profit makers? That’s debatable. And the F-150 is about as gorgeous as the poster below you self pic in it’s avatar. Proof you can’t put lipstick on a pig.

    • 0 avatar

      Hey everybody! I’m having trouble criticizing the good news in this story, so I’m making a vague projection of future doom about something totally unrelated. Did I do a good job?

      Just so you know, Ford is bad. One time they did something wrong and I can prove it! I’m being totally objective, I swear! I don’t hate Ford or anything! Honest!

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