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UAW members at Ford will share in the recent success of the company in many ways, while at the same time keeping Ford competitive. Lump-sum payments, a transparent profit-sharing formula and competitive bonuses were UAW priorities achieved.
(See contract, Page 243C.)
UAW-represented workers, both Traditional and Entry-Level, who are on the active roll on the effective date of the agreement will receive a lump-sum Settlement Bonus of $6,000 for those with one or more years of seniority or $5,000 for anyone with less than one year of seniority. The bonus will be paid as soon as practical after ratification of the contract.
(See contract, Page 19A.)
Eligible workers will also receive $1,500 lump-sum bonuses on the weeks ending June 10, 2012, June 9, 2013, June 8, 2014 and June 14, 2015.
Over time, Ford changed the way it reported its profits. This diminished our ability to truly share in the upside. Our new plan will now use the same profit figures that the company reports to its shareholders thereby restoring our ability to share in the company’s success.
Will structure payouts based on each member’s compensated hours.
Profit sharing payment for 2011 accelerated
(See contract, Page 178C.)
The UAW has secured an advance payment of 2011 profit sharing to be made in 2011. The payment will be based on Ford's 2011 first-half pre-tax profist for North America of $3.752 billion. This level of profitability will generate a Profit Sharing Fund of approximately $154 million that will be distributed to UAW Ford members based on compensated hours. A typical payout will be $3,752. The balance of profit sharing for 2011 will be paid in march 2012, in accordance with the profit sharing plan.
This agreement agreement also shows a strong, ongoing commitment to protect the health care benefits of our retirees. The UAW and Ford are in the process of addressing the company’s accounting, tax, legal and other concerns. Once these concerns are addressed, 10 percent of the Profit Sharing Fund will be diverted to the UAW Retiree Medical Benefits Trust.
Members on long-term military leave to receive profit sharing
(See the contract, Page 179C.)
Negotiators won a significant gain for those serving our country by securing language that entitles workers on long-term military leaves to be eligible for profit sharing.