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Ford Trims Use of Contract Labor in China
Ford Motor Co. and partner Changan Automobile Group have dropped contract worker agreements with multiple agencies as their venture struggles with slumping sales in China.
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Ford Motor Co. and partner Changan Automobile Group have dropped contract worker agreements with multiple agencies as sales slump in China.
The Ford-Changan joint venture had begun laying off thousands of such workers, according to The New York Times. Ford has declined to comment.
Reuters notes that Ford’s sales in China plummeted 37% last year. Company executive told the news service in 2018 that Ford was unlikely to regain sales growth until later this year when fresh models go on sale.
The China Assn. of Automobile Manufacturers reports that factory wholesales to dealers dropped 3% last year and 16% last month. The group does not expect growth in annual wholesales until sometime after 2019 as dealers sell off excess inventories.
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