BERLIN, July 11 (Reuters) - Ford has agreed to a
job protection scheme at its Cologne plant covering over 10,000
workers, with voluntary redundancies planned in response to the
sluggish uptake of electric cars, the company and German
employee representatives said on Friday.
Ford has been undergoing a painful restructuring in
Europe, with
cuts in Cologne
and the
upcoming closure
of its Saarlouis plant dealing a fresh blow to Germany's
prestige as a carmaking hub.
Ford said in a statement that the framework, valid through
2032, includes 2,900 job cuts announced by the company in
November last year.
"The job cuts are primarily based on voluntary redundancies.
The severance payments are generous and significantly better
than usual in the automotive industry," works council head
Benjamin Gruschka said in a statement.
The IG Metall union said the future of Cologne production
remained unclear but welcomed the "safety net."
Ford, which invested $2 billion in transforming its
Cologne site into an EV production hub, has called on the German
government to provide more incentives and better charging
infrastructure to help drivers transition to electric.
IG Metall said the agreement for the Cologne site
included the option for workers impacted by the cuts to trade
places with people from other parts of the company willing to
leave.
The deal is still to be approved in a workers' ballot.
(Reporting by Rachel More, editing by Thomas Seythal)