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Job Creation

The U.S. Auto Industry Drives Domestic Job Creation

From research labs and supplier factories to assembly lines and dealership showrooms, the auto industry supports nearly 8 million American jobs. In sum, the industry pays $500 billion in annual compensation, and generates $70 billion in personal tax revenue. While FCA US, Ford and General Motors are just three of the sixteen automakers competing in the U.S. market, they employ two-thirds of America’s autoworkers. Why do FCA US, Ford and General Motors contribute so much more to our economy? They conduct the bulk of their engineering, manufacturing, marketing and finance work here, in the United States. One out of three FCA US, Ford and General Motors employees are based in the U.S. Conversely, at Toyota, Honda, Nissan, Hyundai/Kia, BMW, Mercedes and VW (the seven largest foreign automakers), only five in one-hundred employees are based here. That six-fold difference translates into millions of indirect U.S. jobs, and tens of billions of dollars in parts sales, R&D and capital investment each year.

As low-skill manufacturing has shifted overseas, the importance of high-skill manufacturing, such as automobile manufacturing, has risen. Likewise, with auto sales rebounding from the financial crisis of 2008 and 2009, the role of automakers in our economy will continue to grow. Industry experts predict FCA US, Ford and General Motors could hire 34,000 new workers over the next four years - those new jobs will support about 300,000 indirect new jobs at auto suppliers and other local businesses that serve FCA US, Ford and General Motors plants. The companies themselves currently operate more than 226 assembly plants, factories, research labs, distribution centers and other facilities, located in 32 states, across 115 Congressional districts. Further, their auto-dealer network independently employs more than 580,000 other Americans.

In total, FCA US, Ford, and General Motors account for more than 68% of U.S. auto-industry jobs, while only holding a 45% total share in the U.S. auto market. Because the three companies research, produce and manufacture more vehicles in the United States than any of their foreign competitors, they have proportionally more employees than the size of their market share. Compared to their competitors, six times more of their global work force is based in the U.S.

 

US Employment (YE 2014)



FCA US/Ford/ General Motors employ 2 out of 3 of America’s autoworkers, translating to 232,000 jobs.

Industries with Top 10 Highest Job Multipliers (2014)


 


 

May 26 2016
Written by Dustin Walsh | Posted on Crain's Detroit Business

Ford Motor Co. announced Wednesday it will launch a pilot program to hire adults with autism on June 1.

Ford will create five positions in product development suited to the skills and capabilities of workers with autism for the program, called FordInclusiveWorks, the Dearborn-based automaker said in a news release. The program was developed with Autism Alliance of Michigan — a nonprofit founded by Dave Meador, vice chairman and chief administrative officer at DTE Energy Co. The alliance is funding the training program tied to the jobs.

Filed Under: Job Creation
May 26 2016
Written by Dominic Adams | Posted on MLive

General Motors will add production of its Chevrolet Silverado 1500 crew cab at the Flint Assembly plant beginning in 2017. The light duty truck is currently produced in Mexico. Flint Assembly also produces the heavy-duty Silverado and GMC Sierra pickup trucks.

May 19 2016
Written by Jeff Bennett | Posted on Wall Street Journal

Fiat Chrysler Automobiles NV is investing $12.2 million to build a new distribution center in Virginia amid growing demand for parts used by its dealerships to both repair and customize its vehicles. The 400,000-square-foot Mopar distribution center, located in Winchester, will employ about 70 people and ship more than 9.2 million parts and other items annually.

May 10 2016
Written by John Rosevear | Posted on The Motley Fool

Ford Motor Company earned $3.1 billion before taxes in its North America unit in the first quarter of 2016, with a 12.9% operating profit margin. Those are outstanding numbers. That profit was nearly double the $1.6 billion it earned in the first quarter of 2015. Ford also nearly doubled its profit in North America despite a big bump in rental-fleet sales, which led many analysts to think that its profits and margins in the region might slip year over year.

May 09 2016
Written by FCA US LLC | Posted on PRNewswire

The FCA US Toledo Assembly Complex (Ohio) has been awarded silver status for its continuous efforts to improve in World Class Manufacturing (WCM), becoming the first U.S. assembly plant to receive this designation. Toledo earned the silver milestone after being recognized with the bronze award in July 2012.