Ford Oakville, Idled Due to Parts Shortage

American manufacturer’s Ford Oakville, Ontario, assembly plant will be idled next week due to shortage of parts caused by labor violence at Ford’s Indian supplier. The supplier in question, Rico Auto Industries, makes transmission parts for Ford.

According to spokesman Todd Nissen talking to Autonews, as a result of this Ford will loose several thousand Ford Edge, Flex, Lincoln MKZ and Lincoln MKT units. Ford is monitoring the situation, as it may cause problems for other plants as well.

Canadian Auto Workers union local president Gary Beck says the unrest in India will affect some 3,000 in workers in Oakville.

Rico Auto Industries, located near Delphi, has been experiencing labor unrest since October 18, when an worker was killed during a conflict between two groups of employees, Business Standard, a newspaper in India reported.

We have an excellent rapport with our OEM (original equipment manufacturer) clients and they know us for our quality of products and our adherence to delivery schedules. There could be a temporary loss in our business moving to our competitors due this unrest,” Surendra Chaudhury, company vice president told the source.

The company’s management has already began negotiating with the workers and says that, as a result of the talks, at least three of the workers fired last week may be rehired.

Charges against the 16 employees were brought by the company on grounds of indiscipline and issuing threats to line managers. So the law will take its course and we will act then,” Chaudhury explained
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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