Following a six-week-long targeted strike against Ford, General Motors, and Stellantis, the United Auto Workers (UAW) reached a tentative agreement on a new master contract with The Blue Oval in late October of 2023. That new deal – which was officially ratified a few weeks later – includes the typical pay raises and beefed-up benefits for workers one might expect, but also, a roadmap outlining $8 billion in planned investments in products and production facilities by Ford over the coming years as well. Earlier this month, Stellantis began paying out a special retirement incentive for those that are eligible, and now, FoMoCo has initiated its own $50k buyout, according to the Detroit Free Press.
Similar to the deal Stellantis is offering, Ford’s 2024 retirement incentive program also offers pre-tax lump sum $50,000 buyouts to eligible employees, who must sign up by the first of March if they want to take advantage of it. There is no limit to how many skilled trade and production employees can take this offer, but to be eligible, UAW members must have at least 30 years of service at any age, be 55 years old with a minimum of 10 years of service, or be 65 years old with at least one year of service. The same payout is also being offered to UAW workers who retired between the first of the year and now.
This is the only retirement buyout Ford has planned for the duration of this contract, which is slated to run through April 2028, however. This is notable, as Stellantis is offering its workers a second chance at the $50,000 payout in 2026, while Ford workers will not be eligible for such a deal.
Ford workers that do decide to take advantage of this buyout – and are subsequently approved for it – will receive a retirement date sometime between now and the first of December, depending on business needs, with payments arriving four to six weeks after that date.