Stuff...

[qwertyuiop]

I really don't want to tell anyone how to vote, so I won't - I'll just provide you with some interesting facts.

 

- A $6,000 signing bonus is the biggest signing bonus ever offered in a contract negotiation. The previous record was $3,000 in 2003 and 2007.

 

- A profit sharing payment has never been accelerated before. We have always had to wait until March to receive the full amount.

 

- Admttedly, about 50% of the "investment" Ford is making (or committing to) is product that would have already been sourced to our US plants. However, a vehicle that has been built in a different country has never been brought back to the US for production. The Fusion is the perfect example of this.

 

- The ONLY thing that is capped about profit sharing is the amount that is figured into the formula. Your ACTUAL profit share contains no cap (However, it would be highly unlikely that this amount would even be approached, let alone exceeded).

 

- The current consumer price index (The table at which COLA was figured) is currently at a 3-month average of 214.1263. The formula would have rounded this off to 214.13. COLA began the last contract at 195.13. For every increase of 0.085 in the CPI, COLA increased by 1 cent. The 2007 contract began deferrals of COLA at a maximum of 17 cents per employee per hour towards health care. At the current rate, if we had not given it up in 2009, minus deferrals, we would be receiving $2.06 per hour of COLA. This is AFTER the deferrals have taken place.

 

So figure this out:

 

From Sept. 2007 to Aug. 2011, the cost of living INCREASED by about 9.73% (This calculation does NOT include medical care, since our COLA was based on all items LESS medical care). While wages stay stagnant, prices continue to rise. If this trend continued, COLA at the time of the new contract in 2015 would be worth $4.47 PER HOUR. This would put us at a wage of appx. $33.00 per hour, not including shift premiums. Midnight shift and C-Crews would receive a premium of $3.30 per hour, putting them at a rate of about $36.30 per hour.

 

Assuming about 15,000 employees are on this shift system-wide, $242,424,000 in additional labor costs would be placed on the company. $121,212,000 would be added for those on afternoons with the same employment numbers, and $116,220,000 for day shift, assuming 12,500 employees. This is also assuming current numbers of employment - this would of course increase if more entry-level workers were hired. The company's labor costs would increase by a total of $479,856,000 if this were to stay intact.

 

Bringing current profit levels into consideration, the company would have to sell about 250,000 additional trucks or about 550,000 additional cars to defray these costs and maintain current profit levels. If these costs were not defrayed, this would decrease our profit share by approximately $800 per year (based on the new formula) or $3,200 over the life of the contract.

 

Based on the example above, COLA really does help us, but can hurt the company too if it spirals up.

 

Just some things to think about, for those of you who haven't voted yet.

Edited October 15, 2011 by qwertyuiop

[pullthecord]

I really don't want to tell anyone how to vote, so I won't - I'll just provide you with some interesting facts.

 

- A $6,000 signing bonus is the biggest signing bonus ever offered in a contract negotiation. The previous record was $3,000 in 2003 and 2007.

 

- A profit sharing payment has never been accelerated before. We have always had to wait until March to receive the full amount.

 

- Admttedly, about 50% of the "investment" Ford is making (or committing to) is product that would have already been sourced to our US plants. However, a vehicle that has been built in a different country has never been brought back to the US for production. The Fusion is the perfect example of this.

 

- The ONLY thing that is capped about profit sharing is the amount that is figured into the formula. Your ACTUAL profit share contains no cap (However, it would be highly unlikely that this amount would even be approached, let alone exceeded).

 

- The current consumer price index (The table at which COLA was figured) is currently at a 3-month average of 214.1263. The formula would have rounded this off to 214.13. COLA began the last contract at 195.13. For every increase of 0.085 in the CPI, COLA increased by 1 cent. The 2007 contract began deferrals of COLA at a maximum of 17 cents per employee per hour towards health care. At the current rate, if we had not given it up in 2009, minus deferrals, we would be receiving $2.06 per hour of COLA. This is AFTER the deferrals have taken place.

 

So figure this out:

 

From Sept. 2007 to Aug. 2011, the cost of living INCREASED by about 9.73% (This calculation does NOT include medical care, since our COLA was based on all items LESS medical care). While wages stay stagnant, prices continue to rise. If this trend continued, COLA at the time of the new contract in 2015 would be worth $4.47 PER HOUR. This would put us at a wage of appx. $33.00 per hour, not including shift premiums. Midnight shift and C-Crews would receive a premium of $3.30 per hour, putting them at a rate of about $36.30 per hour.

 

Assuming about 15,000 employees are on this shift system-wide, $242,424,000 in additional labor costs would be placed on the company. $121,212,000 would be added for those on afternoons with the same employment numbers, and $116,220,000 for day shift, assuming 12,500 employees. This is also assuming current numbers of employment - this would of course increase if more entry-level workers were hired. The company's labor costs would increase by a total of $479,856,000 if this were to stay intact.

 

Bringing current profit levels into consideration, the company would have to sell about 250,000 additional trucks or about 550,000 additional cars to defray these costs and maintain current profit levels. If these costs were not defrayed, this would decrease our profit share by approximately $800 per year (based on the new formula) or $3,200 over the life of the contract.

 

Based on the example above, COLA really does help us, but can hurt the company too if it spirals up.

 

Just some things to think about, for those of you who haven't voted yet.

Nice calculator work, Thanks. Mr top rankin can i pay for your next airline ticket? You need my money more than i do

[FiredMotorCompany]

I really don't want to tell anyone how to vote, so I won't - I'll just provide you with some interesting facts.

 

- A $6,000 signing bonus is the biggest signing bonus ever offered in a contract negotiation. The previous record was $3,000 in 2003 and 2007.

 

- A profit sharing payment has never been accelerated before. We have always had to wait until March to receive the full amount.

 

- Admttedly, about 50% of the "investment" Ford is making (or committing to) is product that would have already been sourced to our US plants. However, a vehicle that has been built in a different country has never been brought back to the US for production. The Fusion is the perfect example of this.

 

- The ONLY thing that is capped about profit sharing is the amount that is figured into the formula. Your ACTUAL profit share contains no cap (However, it would be highly unlikely that this amount would even be approached, let alone exceeded).

 

- The current consumer price index (The table at which COLA was figured) is currently at a 3-month average of 214.1263. The formula would have rounded this off to 214.13. COLA began the last contract at 195.13. For every increase of 0.085 in the CPI, COLA increased by 1 cent. The 2007 contract began deferrals of COLA at a maximum of 17 cents per employee per hour towards health care. At the current rate, if we had not given it up in 2009, minus deferrals, we would be receiving $2.06 per hour of COLA. This is AFTER the deferrals have taken place.

 

So figure this out:

 

From Sept. 2007 to Aug. 2011, the cost of living INCREASED by about 9.73% (This calculation does NOT include medical care, since our COLA was based on all items LESS medical care). While wages stay stagnant, prices continue to rise. If this trend continued, COLA at the time of the new contract in 2015 would be worth $4.47 PER HOUR. This would put us at a wage of appx. $33.00 per hour, not including shift premiums. Midnight shift and C-Crews would receive a premium of $3.30 per hour, putting them at a rate of about $36.30 per hour.

 

Assuming about 15,000 employees are on this shift system-wide, $242,424,000 in additional labor costs would be placed on the company. $121,212,000 would be added for those on afternoons with the same employment numbers, and $116,220,000 for day shift, assuming 12,500 employees. This is also assuming current numbers of employment - this would of course increase if more entry-level workers were hired. The company's labor costs would increase by a total of $479,856,000 if this were to stay intact.

 

Bringing current profit levels into consideration, the company would have to sell about 250,000 additional trucks or about 550,000 additional cars to defray these costs and maintain current profit levels. If these costs were not defrayed, this would decrease our profit share by approximately $800 per year (based on the new formula) or $3,200 over the life of the contract.

 

Based on the example above, COLA really does help us, but can hurt the company too if it spirals up.

 

Just some things to think about, for those of you who haven't voted yet.

 

With that in mind, how much did salary get back, that we did not? How much money did the company restore to salary? That number is never as publicly bantered around as what hourly get.

 

Let's see the company compare the "cost of employment" total for their side of the table with hourly. No one seems to care to "leak" that to the media.

[qwertyuiop]

With that in mind, how much did salary get back, that we did not? How much money did the company restore to salary? That number is never as publicly bantered around as what hourly get.

 

Let's see the company compare the "cost of employment" total for their side of the table with hourly. No one seems to care to "leak" that to the media.

 

Well... from the 2010 proxy statement:

 

Total 2010 compensation for the five current Named Executive Officers is:

 

• Alan Mulally, president and CEO, earned $1,400,000 in salary and $9,450,000 in cash bonus in 2010. Like he did in 2009, in 2010 Mulally continued to take a voluntary 30 percent reduction from his 2008 salary, as part of the company’s plan to conserve cash and reduce expenses. Mulally’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,520,515.

• Bill Ford earned $1,400,000 in salary and $2,700,000 in cash bonus for 2010. Bill Ford, who did not receive any salary, bonus or stock awards for 2005, 2006 and 2007, also took a voluntary 30 percent reduction in 2009 and 2010 from his 2008 salary. Bill Ford’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,460,998, but included salary for 2008 and 2009 and the value of stock awards made for 2008. This reflects his pledge to not accept compensation for those years until the Compensation Committee determined, as it did in August 2010, that Ford’s global Automotive operations had achieved full-year profitability.

• Mark Fields, Ford executive vice president and president, The Americas, earned $1,337,500 in salary and $3,600,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $8,818,892.

• Lewis Booth, Ford executive vice president and chief financial officer, earned $1,237,500 in salary and $3,000,000 in cash bonus in 2010. His total listed compensation – including
  the grant date value of long-term stock options and other stock-based awards – was $8,196,821.

• John Fleming, Ford executive vice president, Global Manufacturing & Labor Affairs, earned $776,250 in salary and $1,400,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $5,916,261.

Compared to us, the top 5 officers of Ford made enough in 2010 to pay the salaries of 1,167 1st tier employees, or 2,354 entry-level employees - for the whole year.

 

Salaried givebacks totalled approximately $90,500,000 in 2010, in the form of restoration of merit raises and bonuses (This figure assumes a 2.7% raise on an average salary of $75,000, and a $2500 bonus for the year), enough for 1,392 1st tier employees' salaries or 2,805 entry level employees' salaries.

 

If you total these two numbers together, which adds up to $166,513,487, you get MORE than enough to restore our COLA, restore our performance bonuses, restore Easter Monday as a holiday, AND return our lost break time for 2010. You would STILL have money left over from that!

The only reason I am posting numbers like this is because no one else seems to want to give the facts. All of this information is publically verifiable in stock reports and thru various business sources, such as Crain's Detroit Business.

 

 

[whereswaldo]

I really don't want to tell anyone how to vote, so I won't - I'll just provide you with some interesting facts.

 

- A profit sharing payment has never been accelerated before. We have always had to wait until March to receive the full amount.

 

- Admttedly, about 50% of the "investment" Ford is making (or committing to) is product that would have already been sourced to our US plants. However, a vehicle that has been built in a different country has never been brought back to the US for production. The Fusion is the perfect example of this.

Well have you done the calculation with FMCC figured back in the profit sharing?? I havent ,just curious if u have.

 

And though "technically" Fusion will be going to AAI, dont think that its going to be 100k or 200k units. It will be certain high trim levels. Think expensive. Think more like 50-75k units (if we are lucky) which if Mustang doesnt turn itself around, AAI will be hard pressed to maintain 2 shifts.

 

 

[poop]

Salaried givebacks totalled approximately $90,500,000 in 2010, in the form of restoration of merit raises and bonuses (This figure assumes a 2.7% raise on an average salary of $75,000, and a $2500 bonus for the year), enough for 1,392 1st tier employees' salaries or 2,805 entry level employees' salaries.

 

If you total these two numbers together, which adds up to $166,513,487, you get MORE than enough to restore our COLA, restore our performance bonuses, restore Easter Monday as a holiday, AND return our lost break time for 2010. You would STILL have money left over from that!

The only reason I am posting numbers like this is because no one else seems to want to give the facts. All of this information is publically verifiable in stock reports and thru various business sources, such as Crain's Detroit Business.

 

I want to say that I like this thread because it's good facts. I do think, however, that we should think about the 90.5 million number more seriously than we think about the top executive salary. I believe this is because the executive salary is a problem not specific to Ford Motor Company, but is a problem with our overall society, and is a political and economic problem. I think we have to find a solution to it, but the solution is not going to be involved in this contract because the salaries of our top executives is not an issue that's negotiated. It's a moral issue. As much as I find it f'ing outrageous that these people make this kind of money sitting in a cushy office doing nothing all day but deciding which plant to close or how many people to put out of work, I am not alan mulally's counterpart. I AM the hourly counterpart, however, of the salaried people who got the 90.5 million in givebacks. In my opinion, since the 6k bonus and profit share upfront is worth almost 400 mil for the 41k hourly workers, not to mention the increased profit share over the course of the contract and inflation bonuses, i think we got a decent deal.

 

Also, I think that we should heed the advice of something I read either on here or facebook today, I can't remember. If we are really that outraged by mulally's ridiculous salary vs. ours, we need to stop treating him like a rockstar everytime he comes to our plants. When he makes his little rounds, we need to tell him that it is disgusting that he makes millions of dollars while the people who are breaking their backs to build the products that allow him to collect that money are making a comparative pittance. That being said, I still think that mulally's salary isn't just a problem for Ford but a problem for America. So when this contract vote is over, we need to go to meetings, get on the streets, go vote, organize people, whatever is necessary to get this country back to a place where a CEO doesn't make 1500x what his employees make in America

[qwertyuiop]

Well have you done the calculation with FMCC figured back in the profit sharing?? I havent ,just curious if u have.

 

If you add FMCC back into the formula, and use the first 2 quarters as an addition to FNA earnings, Here's what you get:

 

1st Quarter: $713M EBIT

2nd Quarter: $604M EBIT

 

Total: $1.317B EBIT

 

Add this to the $3.752B already announced, and you get $5.069B. The profit share fund would start out at $5,069 per employee and vary with compensated hours.

 

This is a loss of $1,317 (minimum) per employee in possible profit sharing.

 

 

And though "technically" Fusion will be going to AAI, dont think that its going to be 100k or 200k units. It will be certain high trim levels. Think expensive. Think more like 50-75k units (if we are lucky) which if Mustang doesnt turn itself around, AAI will be hard pressed to maintain 2 shifts.

 

This should have been foreseeable. It is most likely only incremental volume, if that... The production that would come in would most likely only be enough to replace the lost Mazda6 production in order to keep the plant viable.

[whereswaldo]

 

This should have been foreseeable. It is most likely only incremental volume, if that... The production that would come in would most likely only be enough to replace the lost Mazda6 production in order to keep the plant viable.

 

And maybe only enough for a one shift plant.

[qwertyuiop]

I want to say that I like this thread because it's good facts. I do think, however, that we should think about the 90.5 million number more seriously than we think about the top executive salary.

 

This is the point I am trying to get across to the people who have turned a blind eye to everything but Mullaly and Ford's salary. You have to look at what salary got back versus what we didn't, not look at the salary of the CEO - you are comparing apples to watermelons in that aspect.

Edited October 16, 2011 by qwertyuiop

[deflep1]

Well have you done the calculation with FMCC figured back in the profit sharing?? I havent ,just curious if u have.

 

And though "technically" Fusion will be going to AAI, dont think that its going to be 100k or 200k units. It will be certain high trim levels. Think expensive. Think more like 50-75k units (if we are lucky) which if Mustang doesnt turn itself around, AAI will be hard pressed to maintain 2 shifts.

Fusion sales will be around 240,000 this year (188k sold through end of Sept.) Ford projects the new model will sell 250-300k. We were told we would make at LEAST one third of total Fusion production, that would be 80-100k units. The 50th anniversary Mustang is projected to sell 85-100k units. That would put us at around 160-200k units per year, easily maintaining 2 shifts. Ford also wants AAI to be capable of overflow production of another product and will add a third shift if needed for that. 555 million to build a new paint shop, add on to stamping,& make all lines flexible. They aren't just going to replace the lost 40k Mazda 6 production with only 40k Fusions. The whole idea is to maximize production on 2 shifts or even 3 if the economy allows.

[4Real?]

Well... from the 2010 proxy statement:

 

Total 2010 compensation for the five current Named Executive Officers is:

 

• Alan Mulally, president and CEO, earned $1,400,000 in salary and $9,450,000 in cash bonus in 2010. Like he did in 2009, in 2010 Mulally continued to take a voluntary 30 percent reduction from his 2008 salary, as part of the company’s plan to conserve cash and reduce expenses. Mulally’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,520,515.

• Bill Ford earned $1,400,000 in salary and $2,700,000 in cash bonus for 2010. Bill Ford, who did not receive any salary, bonus or stock awards for 2005, 2006 and 2007, also took a voluntary 30 percent reduction in 2009 and 2010 from his 2008 salary. Bill Ford’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,460,998, but included salary for 2008 and 2009 and the value of stock awards made for 2008. This reflects his pledge to not accept compensation for those years until the Compensation Committee determined, as it did in August 2010, that Ford’s global Automotive operations had achieved full-year profitability.

• Mark Fields, Ford executive vice president and president, The Americas, earned $1,337,500 in salary and $3,600,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $8,818,892.

• Lewis Booth, Ford executive vice president and chief financial officer, earned $1,237,500 in salary and $3,000,000 in cash bonus in 2010. His total listed compensation – including
  the grant date value of long-term stock options and other stock-based awards – was $8,196,821.

• John Fleming, Ford executive vice president, Global Manufacturing & Labor Affairs, earned $776,250 in salary and $1,400,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $5,916,261.

Compared to us, the top 5 officers of Ford made enough in 2010 to pay the salaries of 1,167 1st tier employees, or 2,354 entry-level employees - for the whole year.

 

Salaried givebacks totalled approximately $90,500,000 in 2010, in the form of restoration of merit raises and bonuses (This figure assumes a 2.7% raise on an average salary of $75,000, and a $2500 bonus for the year), enough for 1,392 1st tier employees' salaries or 2,805 entry level employees' salaries.

 

If you total these two numbers together, which adds up to $166,513,487, you get MORE than enough to restore our COLA, restore our performance bonuses, restore Easter Monday as a holiday, AND return our lost break time for 2010. You would STILL have money left over from that!

The only reason I am posting numbers like this is because no one else seems to want to give the facts. All of this information is publically verifiable in stock reports and thru various business sources, such as Crain's Detroit Business.

 

Thanks for the factual information. This is very helpful instead of the constant crying of the no voters who just say no. We do get a lot more in this contract. If we follow the no voters we would be getting less. What a bunch of idiots.

[Marginal Economist]

Well... from the 2010 proxy statement:

 

Total 2010 compensation for the five current Named Executive Officers is:

 

• Alan Mulally, president and CEO, earned $1,400,000 in salary and $9,450,000 in cash bonus in 2010. Like he did in 2009, in 2010 Mulally continued to take a voluntary 30 percent reduction from his 2008 salary, as part of the company’s plan to conserve cash and reduce expenses. Mulally’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,520,515.

• Bill Ford earned $1,400,000 in salary and $2,700,000 in cash bonus for 2010. Bill Ford, who did not receive any salary, bonus or stock awards for 2005, 2006 and 2007, also took a voluntary 30 percent reduction in 2009 and 2010 from his 2008 salary. Bill Ford’s total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $26,460,998, but included salary for 2008 and 2009 and the value of stock awards made for 2008. This reflects his pledge to not accept compensation for those years until the Compensation Committee determined, as it did in August 2010, that Ford’s global Automotive operations had achieved full-year profitability.

• Mark Fields, Ford executive vice president and president, The Americas, earned $1,337,500 in salary and $3,600,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $8,818,892.

• Lewis Booth, Ford executive vice president and chief financial officer, earned $1,237,500 in salary and $3,000,000 in cash bonus in 2010. His total listed compensation – including
  the grant date value of long-term stock options and other stock-based awards – was $8,196,821.

• John Fleming, Ford executive vice president, Global Manufacturing & Labor Affairs, earned $776,250 in salary and $1,400,000 in cash bonus in 2010. His total listed compensation – including the grant date value of long-term stock options and other stock-based awards – was $5,916,261.

Compared to us, the top 5 officers of Ford made enough in 2010 to pay the salaries of 1,167 1st tier employees, or 2,354 entry-level employees - for the whole year.

 

Salaried givebacks totalled approximately $90,500,000 in 2010, in the form of restoration of merit raises and bonuses (This figure assumes a 2.7% raise on an average salary of $75,000, and a $2500 bonus for the year), enough for 1,392 1st tier employees' salaries or 2,805 entry level employees' salaries.

 

If you total these two numbers together, which adds up to $166,513,487, you get MORE than enough to restore our COLA, restore our performance bonuses, restore Easter Monday as a holiday, AND return our lost break time for 2010. You would STILL have money left over from that!

The only reason I am posting numbers like this is because no one else seems to want to give the facts. All of this information is publically verifiable in stock reports and thru various business sources, such as Crain's Detroit Business.

 

Do you have a link to the salaried numbers of 90,500,000? I've never seen this number and it looks more like a rough calculation based on 20K salaried. I've never seen an average salary number of $75K or the bonus number either. I'm not saying the number is incorrect, just wondering if it was published somewhere.

[whereswaldo]

Fusion sales will be around 240,000 this year (188k sold through end of Sept.) Ford projects the new model will sell 250-300k. We were told we would make at LEAST one third of total Fusion production, that would be 80-100k units. The 50th anniversary Mustang is projected to sell 85-100k units. That would put us at around 160-200k units per year, easily maintaining 2 shifts. Ford also wants AAI to be capable of overflow production of another product and will add a third shift if needed for that. 555 million to build a new paint shop, add on to stamping,& make all lines flexible. They aren't just going to replace the lost 40k Mazda 6 production with only 40k Fusions. The whole idea is to maximize production on 2 shifts or even 3 if the economy allows.

 

Well first read my post. It did say 50-75k units. 75 isnt that far from 85. Anyway Ford wanted 100k for the Flex. Dont look at their #'s. They never came close. Fusion sales at least have a shot at doing better. But remember if Fusion doesnt hit its #'s, it will be AAI thats cut back not Hermosillo(?). And when the Mustang hits that 51st anniv. watch its sales go back where they came from.

[deflep1]

Well first read my post. It did say 50-75k units. 75 isnt that far from 85. Anyway Ford wanted 100k for the Flex. Dont look at their #'s. They never came close. Fusion sales at least have a shot at doing better. But remember if Fusion doesnt hit its #'s, it will be AAI thats cut back not Hermosillo(?). And when the Mustang hits that 51st anniv. watch its sales go back where they came from.

The Flex was a new vehicle with no sales history, the Fusion is a known vehicle that has been increasing in sales every year, and will continue to go up with new styling and the fact that union members & their families will buy an American made Fusion. Your projection of 100-130k total production is vastly different then 170-200k. The higher numbers mean 2 full shifts. You also forget the new investment allows for 3 cars to be built,(a Lincoln built of the Mustang platform MAY happen) Ford wants AAI to be running to capacity within 2 years, regardless if it's 2 or 3 shifts.