26th Feb 2008
Buy-Out Plans
Ford is offering some substantial buy-out plans to 54,000 hourly workers. The buyout plans include these sorts of options:
Employees with as little as one year of seniority can receive $100,000 cash, although they give up all health benefits after a six-month period.
For employees at least 55 years old and with at least 10 years on the job, the payout jumps to $140,000.
And opinions by workers vary:
“I am taking it seriously, but it’s really hard to think about leaving,” said Jerry Thomas, a 37-year-old millwright with 12 years at Ford. “The only thing that would make me do it is the uncertainty. We just don’t know what’s going to happen with Ford.”
“We never had this type of opportunity when I was in the steel industry,” Mr. Linko said. “We knew for years that the industry was in trouble, and one day the doors just shut.”
“I’m taking the $100,000,” said Stacy Haynes, a 34-year-old mother of four children. “I’ve been here 12 years, and I can’t believe I lasted this long.”
“I’d like to retire, but it’s just not enough money for me now,” Mr. Fender said. “I’m making almost $80,000 a year, and I can’t see leaving that behind.”
Yeah, I think it would take that and use it to go to trade school, and/or put it in the bank and see if Toyota is hiring.
CC
I would definitely take the money and leave, but I think if I were concerned about health insurance or taking care of a big family I might be scared to. I guess part of what is going on is that people are sort of in denial about the inevitable lay-offs.
I’d be so out of there! I agree, it’s harder with kids, but even if you just go ahead and get another job, you’re ahead of the game. Or pay down your mortgage and find a job where you only need to pay a few hundred a month for your housing.
Hmm; wait - does that include buying out their 401Ks?
Gosh, I would hope not.