Ford supplier Webasto was in the news a few years ago following the launch of the sixth-generation Ford Bronco, albeit not exactly in a good way. Rather, the very first iteration of the SUV’s molded-in color hardtop suffered from quality issues that sent it back to the drawing board, not to mention supply chain issues that limited its ability to build tops, in general. However, things have taken a major turn for the worse since then, with weak demand prompting Webasto to shed jobs amid accusations of union busting, and now, the company is seeking some outside help.
According to Bloomberg, Webasto has hired Johann Stohner to lead its restructuring efforts as the supplier deals with what it calls an “ongoing crisis” in the automotive industry, in general. Last month, the company reached a stabilization agreement with its lenders and holders of its Schuldschein notes, paving the way for Stohner – who works for consultancy firm Alvarez & Marsal – to manage that process as its chief restructuring officer. “We must continue to consistently adapt our production and development capacities to the changed situation, streamline our organization as a whole and further sharpen our product offering,” said Holger Engelmann, chairman of the management board of Webasto.
In 2023, Webasto reported a sales increase of nearly 4.6 billion euros, though earnings before interest and taxes (EBIT) was only slightly positive at around 20 million euros. Regardless, Engelmann noted that those results were “disappointing and forces us to take action” as the company deals with “considerable fluctuations in demand, increased cost pressure, inflationary effects, disruptions in the supply chain, and weak development in many markets are reflected in our figures.”
At the same time, Webasto has been dealing with the United Auto Workers (UAW) after 200 workers at its plant in Plymouth, Michigan ratified their first contract with the union last year. According to the UAW, Webasto has been distributing anti-union literature since then, adding that workers have accused the company of disciplining, intimidating, or terminating workers who show support for the union, changing its bathroom policy to require workers to get permission to do so, requiting workers to attend captive audience meetings, using video cameras to monitor union activity, and maintaining a rulebook that’s reportedly unlawful.
Comment
Brand new MIC tops are cracking and bubbling. Ford Authority ought to do a story on that and ask Ford directly whether it is going to extend the warranty for all those tops beyond the 3-year warranty!