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WildScotsRacing
WildScotsRacing Reader
4/5/16 3:19 p.m.

What do we think about Ford giving the (fat finger edit) UAW the finger by way of building a new plant down South?

Discuss.

Toyman01
Toyman01 MegaDork
4/5/16 3:26 p.m.

In reply to WildScotsRacing:

I think it was bound to happen. More and more, manufacturing is moving to cheaper labor areas, and it will continue to do so as long as the costs are so high here in the USA. They almost have to to be competitive on the world scale.

This kind of says it all.

http://www.cbsnews.com/news/why-your-next-car-could-be-made-in-mexico/

EvanR
EvanR Dork
4/5/16 3:27 p.m.

The Chevy Sonic will move production to Mexico soon.
Ford didn't want to feel left out.

Tom_Spangler
Tom_Spangler UltraDork
4/5/16 3:32 p.m.
EvanR wrote: The Chevy Sonic will move production to Mexico soon. Ford didn't want to feel left out.

Considering that Ford has been making cars there for 30 years, I doubt they will.

WildScotsRacing
WildScotsRacing Reader
4/5/16 3:47 p.m.

Just wondering what the chances are of just one single displaced UAW placing the blame for the demise of his job squarely with the UAW and his own outrageously high hourly rate relative the true value of his work. And I do know the true hourly value of assembly work, because I did for a couple of college summers at Mercury Marine. And it ain't worth a collective $57/hour. Hellz Bellz, I wouldn't have paid myself what I made at that job. Every day I worked there I thought, "no wonder stuff costs so much! This Broke College Kids needs the money, but this rate of pay for what I'm doing is just bad economics".

stuart in mn
stuart in mn UltimaDork
4/5/16 3:52 p.m.

Bringing up the UAW and high wages vs. value of work kind of seems like a flounder to me...

WildScotsRacing
WildScotsRacing Reader
4/5/16 4:10 p.m.

In reply to stuart in mn:

My point is, it seems that Ford isn't seeing the value of that much pay for that kind of labor. So, they're not going to pay that much anymore to build the Focus. I have to agree with them, having done that kind of work.

spitfirebill
spitfirebill PowerDork
4/5/16 4:10 p.m.

One of my co-workers had flounder at lunch. She said it was tasty.

alfadriver
alfadriver MegaDork
4/5/16 4:17 p.m.
WildScotsRacing wrote: Just wondering what the chances are of just one single displaced UAW placing the blame for the demise of his job squarely with the UAW and his own outrageously high hourly rate relative the true value of his work. And I do know the true hourly value of assembly work, because I did for a couple of college summers at Mercury Marine. And it ain't worth a collective $57/hour. Hellz Bellz, I wouldn't have paid myself what I made at that job. Every day I worked there I thought, "no wonder stuff costs so much! This Broke College Kids needs the money, but this rate of pay for what I'm doing is just bad economics".

Well, it sounds like the Ranger is going to Wayne Assembly where the Focus used to be made. So it's not as if they are losing jobs.

BTW, it's not the job that is hard, it's doing 8 hours a day for a career of 30 years that's hard. I wouldn't be able to do it.

WOW Really Paul?
WOW Really Paul? MegaDork
4/5/16 4:17 p.m.
WildScotsRacing wrote: Just wondering what the chances are of just one single displaced UAW placing the blame for the demise of his job squarely with the UAW and his own outrageously high hourly rate relative the true value of his work. And I do know the true hourly value of assembly work, because I did for a couple of college summers at Mercury Marine. And it ain't worth a collective $57/hour. Hellz Bellz, I wouldn't have paid myself what I made at that job. Every day I worked there I thought, "no wonder stuff costs so much! This Broke College Kids needs the money, but this rate of pay for what I'm doing is just bad economics".

UAW around here tops out at a little over half that nowadays.

NAFTA has gutted the labor unions much more effectively than the push towards right to work laws though.

z31maniac
z31maniac MegaDork
4/5/16 4:57 p.m.
WOW Really Paul? wrote:
WildScotsRacing wrote: Just wondering what the chances are of just one single displaced UAW placing the blame for the demise of his job squarely with the UAW and his own outrageously high hourly rate relative the true value of his work. And I do know the true hourly value of assembly work, because I did for a couple of college summers at Mercury Marine. And it ain't worth a collective $57/hour. Hellz Bellz, I wouldn't have paid myself what I made at that job. Every day I worked there I thought, "no wonder stuff costs so much! This Broke College Kids needs the money, but this rate of pay for what I'm doing is just bad economics".
UAW around here tops out at a little over half that nowadays. NAFTA has gutted the labor unions much more effectively than the push towards right to work laws though.

He's saying $57/hr once you include salaries, benefits, the taxes the business pays (people seem to forget your employer also pays a bunch of taxes on your paycheck as well).

Yes, other places are cheaper (think about that the next you fly Boeing and know many of the parts are made in Malaysia/SE Asia).....but moving these jobs for the sake of investors is gutting the middle class.

A perfect example is since 2008 nearly all new wealth created has been in the top 1% while the middle class purchasing stays stagnant or declines.

84FSP
84FSP HalfDork
4/5/16 5:12 p.m.

Mexican autobuilds are forecast to increase 43% by 2020. Us auto builds are forecast to increase 2% by 2020.

WOW Really Paul?
WOW Really Paul? MegaDork
4/5/16 5:13 p.m.

In reply to z31maniac:

Fair point, I didn't catch that as being the reference point.

iceracer
iceracer PowerDork
4/5/16 6:18 p.m.

It's a matter of being cost effective. The F150 can stand the $30 an hour cost. The Focus and the Fiesta need $8 an hour labor.

Note: Labor cost are just for a comparison.

Streetwiseguy
Streetwiseguy PowerDork
4/5/16 6:20 p.m.

I`m pretty darn sure the Crown Victoria was considered an import by some standards. It had more Mexican content than American, I think.

WOW Really Paul?
WOW Really Paul? MegaDork
4/5/16 7:00 p.m.
Streetwiseguy wrote: I`m pretty darn sure the Crown Victoria was considered an import by some standards. It had more Mexican content than American, I think.

Well, as far as where it is made, you used to be able to read a vin on US automakers vehicles to tell where it was assembled. Vin beginning with 1 was made in the USA, 2 for Cannuckistan, and 3 for Mexico. I am not quite sure if they still do this, but my '01 Focus was built in Mexico and shows its 3 starting the Vin. My Fiat also starts with 3 and was made in Mexico.

mndsm
mndsm MegaDork
4/5/16 7:03 p.m.
alfadriver wrote:
WildScotsRacing wrote: Just wondering what the chances are of just one single displaced UAW placing the blame for the demise of his job squarely with the UAW and his own outrageously high hourly rate relative the true value of his work. And I do know the true hourly value of assembly work, because I did for a couple of college summers at Mercury Marine. And it ain't worth a collective $57/hour. Hellz Bellz, I wouldn't have paid myself what I made at that job. Every day I worked there I thought, "no wonder stuff costs so much! This Broke College Kids needs the money, but this rate of pay for what I'm doing is just bad economics".
Well, it sounds like the Ranger is going to Wayne Assembly where the Focus used to be made. So it's not as if they are losing jobs. BTW, it's not the job that is hard, it's doing 8 hours a day for a career of 30 years that's hard. I wouldn't be able to do it.

Which is really stupid imo necause the ranger plant in mn was just torn down. But...who knew theyd bring it back.

Hal
Hal SuperDork
4/5/16 7:11 p.m.

What's the big deal? The Focus hatches have been made in Mexico since the beginning.

NOHOME
NOHOME PowerDork
4/5/16 7:33 p.m.

The current world economy dictates that you must manufacture using labour that lives in poverty and sell to clients who are wealthy.

In relative terms, the American car buyer is wealthy and the Mexican labour force will work for a subsistence wage. So the business plan is on target.

Some of you can see where this stops working.

Datsun310Guy
Datsun310Guy PowerDork
4/5/16 8:10 p.m.

My father-in-law retired from GM at age 52 with 30 years at Fisher Body. In two months he turns 80 years old and will be retired 28 years on the UAW retirement. I am glad he has this retirement so I don't have to support him.

All kidding aside I have no issue with a car made in Mexico - until Trump.......now this might be a flounder!!!

mazdeuce
mazdeuce PowerDork
4/5/16 8:18 p.m.
Hal wrote: What's the big deal? The Focus hatches have been made in Mexico since the beginning.

I was wondering this myself. I bought a new Mexican made Focus in 2000. I drove it. My brother drove it. His daughter drove it, now some kid local to him drives it at something like 220k miles.

Dr. Hess
Dr. Hess MegaDork
4/5/16 8:43 p.m.

Ya know, nobody gave a E36 M3 when my industry (U.S. Merchant Marine) was destroyed. Hey, look, we can get Filipino sailors to work for two hundred bucks a month! Woot! Besides, U.S. sailor's pay was the least expensive part of having a U.S. flag ship. The regulations and taxes are what killed it. I suspect the same is driving FORD berkeleyING FOCUS cars to Mexico. Even if you pay a UAW worker $15/hr, it will still cost you $50 an hour by the time you're done. That Mexican worker gets $5/hr and that's about it total. I could get you exact numbers. My old roommate does that for a living. That is, moves US production to Mexico and China. He moves Canadian production out too.* Anyway, it's the governmental regulations that have killed the economy and middle class. And yes, the ultra wealthy, like the Clintons, are doing great at the expense of the rest of us.

*Cool story (unless your on Canada):
My friend flies into Montreal on the way to go to inspect this Canadian plant that makes widgets for the US auto industry. He is looking to assess what to do with the global production facilities for Big Acme Widget Company. Now, I've been around the world 3 times (see above) and the WORST berkeleyING CUSTOMS AND IMMIGRATION OFFICERS/EXPERIENCE IN THE berkeleyING WORLD is going through Montreal, Quebec, Canada. So, the Canadian customs/immigration guy is being a prick and giving my friend a super hard time, just because he likes it. My friend is all "Oh, yes sir, no sir, you da man sir..." to him on the outside and on the inside he's like "You dumb berkeley. You just cost your country 300 jobs. The board will do whatever I write up. I'm shutting down your plant and moving the production to Tennessee and Mexico." If you're Canadian and made widgets for the US Auto industry and wondered why you lost your job, now you know.

mattm
mattm Reader
4/5/16 8:57 p.m.
Dr. Hess wrote: Ya know, nobody gave a E36 M3 when my industry (U.S. Merchant Marine) was destroyed. Hey, look, we can get Filipino sailors to work for two hundred bucks a month! Woot! Besides, U.S. sailor's pay was the least expensive part of having a U.S. flag ship. The regulations and taxes are what killed it. I suspect the same is driving FORD berkeleyING FOCUS cars to Mexico. Even if you pay a UAW worker $15/hr, it will still cost you $50 an hour by the time you're done. That Mexican worker gets $5/hr and that's about it total. I could get you exact numbers. My old roommate does that for a living. That is, moves US production to Mexico and China. He moves Canadian production out too.* Anyway, it's the governmental regulations that have killed the economy and middle class. And yes, the ultra wealthy, like the Clintons, are doing great at the expense of the rest of us. *Cool story (unless your on Canada): My friend flies into Montreal on the way to go to inspect this Canadian plant that makes widgets for the US auto industry. He is looking to assess what to do with the global production facilities for Big Acme Widget Company. Now, I've been around the world 3 times (see above) and the WORST berkeleyING CUSTOMS AND IMMIGRATION OFFICERS/EXPERIENCE IN THE berkeleyING WORLD is going through Montreal, Quebec, Canada. So, the Canadian customs/immigration guy is being a prick and giving my friend a super hard time, just because he likes it. My friend is all "Oh, yes sir, no sir, you da man sir..." to him on the outside and on the inside he's like "You dumb berkeley. You just cost your country 300 jobs. The board will do whatever I write up. I'm shutting down your plant and moving the production to Tennessee and Mexico." If you're Canadian and made widgets for the US Auto industry and wondered why you lost your job, now you know.

In before the lock. I think you should calibrate your "ultra wealthy" by the way, but nice flounder!

JohnRW1621
JohnRW1621 MegaDork
4/5/16 9:32 p.m.

All of this is old news.

American Automobile Labeling Act (AALA)
Since 2007, all cars sold in the US must have a label displaying the percentage of "Domestic" content. Know that "Domestic" means US and Canada with no differentiation to get just USA content.

There are many surprises on the lists.

Adrian_Thompson
Adrian_Thompson UltimaDork
4/5/16 9:52 p.m.

Wow, there's some BS being spouted here. I wish I could comment but since my paycheck has a blue oval at the top I can't. But please note I've worked as an Engineer launching first the CT20 sedan at Wayne assembly then the CT20 ZX2 coupe at Hermosillo . Both places have their good and bad points but people's perceptions of wages, benifits are laughable.

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