Ford cuts shifts at factories in Kentucky and Michigan, but keeps jobs

Luke Sharrett | Bloomberg | Getty Images

An employee works on a Ford Expedition sports utility vehicle on the assembly line at the Ford Kentucky Truck Plant in Louisville, Kentucky.

Ford is cutting a shift at two of its plants, but the automaker’s avoiding layoffs by moving workers to other facilities, the company said Wednesday.

The automaker is shifting about 500 workers from its Louisville Assembly plant to its Kentucky Truck Plant — both in Kentucky — to increase production of the Ford Expedition and Lincoln Navigator, which are both experiencing strong sales.

It will also move 500 jobs from its Flat Rock Assembly Plant to its Livonia Transmission plant, which makes transmissions for several vehicles, including its F-150 full-size pickup and the Ranger, a mid-size pickup Ford is reintroducing after 8 years. Both plants are in Michigan.

Ford makes the Ford Escape and the Lincoln MKC, both compact crossover vehicles, at the Louisvile Assembly plant, and the Mustang sports car at Flat Rock.

Higher demand for pricey pickups and SUVs, have helped automakers, particularly American ones, weather falling sales this year. Ford is especially strong in larger pickups and SUVs. Ford Expedition sales in October increased 36 percent from one year ago, while Lincoln Navigator rose more than 80 percent over the same month in 2017. At the same time, sales of the Escape fell 7 percent, the MKC 8.5 percent, and the Mustang 6 percent.

“Our collectively bargained contract provides for the placement of all members displaced by the shift reduction and, after working with Ford, we are confident that all impacted employees will have the opportunity to work at nearby facilities,” said United Auto Workers Union vice president Rory Gamble.