“Job 1” at Ford: Employee Co‐operation

Abstract

The Ford Motor Company is undergoing an evolutionary change in its corporate culture and operating procedures, hoping to transform itself into a twenty‐first century organisation capable of competing around the globe with other world‐class producers. Beset with simultaneous strategic, financial and design crises it has become obvious that revitalisation of the company is dependent on recasting the labour‐management relationship, and that cost increases must be offset by productivity. The 1979 negotiations between Ford and the Union of Automobile Workers (UAW) resulted in the creation of the National Joint Committee on Employee Involvement (NJCEI) specifically considering quality circles and team building; while 1982 negotiations outlined specific functions of local steering committees, career counselling and guidance, targeted vocational retraining projects and introduced the Employee Development and Training Programme. Through the use of joint governing boards, local steering committees and the National Joint Committee, Ford and union officials meet frequently to discuss topics of mutual concern. With eleven major product re‐configurations either in progress or recently completed, it appears that the company has made a major gamble on the future. The UAW‐Ford NJCEI has been successful in achieving its aims of improved employee satisfaction, labour‐management co‐operation and improved product quality.