Ford to pay $9,000 in profit sharing to UAW workers
Dearborn — Ford Motor Co. said Thursday that its more than 56,000 United Auto Workers hourly employees will receive profit sharing of $9,000 on average this year.
The company made the announcement as part of its 2016 earnings. The UAW workers will receive the money March 9, Ford representatives said.
Bob Shanks, Ford’s executive vice president and chief financial officer, said the results were “very strong” and “something we’re very happy about.”
UAW Vice President Jimmy Settles said in a statement Thursday that the news is “an important indicator that Ford Motor Co. is a healthy, financially secure company which translates to job security for our members.”
Settles noted that profit sharing is not a “benevolent payout” from Ford, but something the UAW deserve and demand.
“Both job security and financial gains for our membership have always been at the top of my priority list and today’s announcement solidifies our efforts,” he said.
Profit sharing is determined by the automaker’s North American profits. Hourly employees earn $1 for every million of the carmaker’s pre-tax North America profit.
Last year, about 52,900 Ford UAW members received a record $9,300. The 2016 profit-sharing results are the second highest to last year’s results, according to Shanks.
About 40,000 United Auto Workers with Fiat Chrysler Automobiles NV next month will receive average profit-sharing payments of $5,000, that company announced Thursday.
Fiat Chrysler Automobiles NV released its earnings Thursday, while General Motors Co. is scheduled for Feb. 7.