Ford, IG Metall agree on job protection deal for Cologne plant

Newsworm
with
AFP
July 11, 2025
The Ford plant in Cologne secures jobs for over 10,000 workers until 2032 under a new agreement between IG Metall and the works council. Despite Ford’s plans to cut 2,900 jobs in Germany by 2027, the “protection package” ensures vocational training, permanent employment, and favorable exit terms, providing stability amid ongoing restructuring.
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The IG Metall union and the general works council of the struggling Ford plant in Cologne say they have put together a "protection package" for employees with the US company. - AFP

The IG Metall trade union and the general works council of the struggling Ford plant in Cologne have agreed a “protection package” for employees with the US company. “Security for all employees until the end of 2032” has been agreed, the works council explained on Friday. “The future direction of the Cologne site remains uncertain,” IG Metall added, however.

Nevertheless, the works council spoke of an “important milestone for over 10,000 employees”. A “secure network has been created for everyone”, explained Works Council Chairman Benjamin Gruschka. “We have also managed to secure vocational training and permanent employment in the long term until 2032.

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Ford wants to cut thousands of jobs in Germany as part of its cost-cutting measures. Last November, the ailing US car manufacturer announced plans to cut 4,000 jobs in Europe by the end of 2027, including 2,900 in Germany, mainly in Cologne. In March, the US parent company also terminated a letter of comfort that had been in place since 2006 and had previously ensured that it would cover the subsidiary's debts.

"The strategic considerations for Ford in Europe are not yet complete," explained IG Metall. "Against this backdrop, the negotiated outcome now represents a valuable safety net for the entire workforce." Accordingly, the company will allow employees to leave the company "under favorable conditions" in the future. Partial retirement programs have also been expanded.

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"Clear rules apply to areas that are to be sold to investors: Only sustainable concepts with a future will be considered," added works council chairman Gruschka. Working conditions for employees remain untouched for the time being.

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