Ford Valencia are to send workers home due to falling demand for new cars

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Ford Valencia are to send workers home due to falling demand for new cars.

This is the third such plan at the Almussafes factory in Valencia.  They call it "Expediente de Regulación de Empleo" or "ERE" for short, which means a "Forced adjustment plan".

Ford will send home 455 workers with another ERE from its factory at Almussafes. The proposal that has sent by the directors of the factory of Almussafes to the unions consists of a shutdown of the motor plant that will affect 455 employees of that department, according to confirmed sources of the company.. The announced shutdown will last until March of 2010.  The temporary ERE will be translated as 75 days of non-consecutive unemployments so it remains for 2009 and the first trimester of 2010. In fact, the factory “is completely stopped” this week because several days of the ERE decided upon in December which have now gone ahead, according to the Secretary General of CCOO in the Valencian plant, Miquel Rosaleny.

Now there begins a period of 15 days of consultations between the unions and the Directors, that will finalize with the definitive presentation to the Conselleria of Economy of the ERE for its approval. Ford indicate that the falling demand for cars of their smaller range in Europe and the United States has caused a diminished production at Almussafes, the centre for petrol motors.    Unless a miracle happens, there will be another ERE in March of 21 days.

On another side, the Valencian Autonomous Government has granted a subsidy to Ford Spain of 6.2 million Euros for “contributing to the development of its competitive potential and for its direction towards activities of greater added value”.

The president of the Valencian Association of the Industry of Automotion, that groups the providers of Ford, Emilio Orta, described the situation as “a disaster” and it has been reported that Januarty sales are down 40%.  He says that the auxiliary industry depends on the manufacturer, and has met last Monday with the delegate of the Government, Ricardo Peralta, to set out the situation about this sector.