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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)


Jul 15 2015
Written by Korri Kezar | Posted on Dallas Business Journal

A $1.4 billion overhaul will expand General Motors Corp.'s (NYSE: GM) Arlington plant to nearly 4.5 times its size when it opened 61 years ago.

The project will add 1.2 million square feet to the factory’s 4.375 million square feet across 250 acres. The facility will also be outfitted with new equipment, machinery and tools, as well as training for the 4,100 employees who create 280,270 Chevrolet Tahoe and Suburban, GMC Yukon and Cadillac Escalade SUVs each year.

Jun 23 2015
General Motors News

General Motors will invest $245 million and add 300 new jobs at its Orion Assembly plant to support launching an all-new vehicle program unlike any in the plant’s 32-year history.

“Orion Assembly is a breeding ground for manufacturing innovation,” said Cathy Clegg, GM North America vice president of Manufacturing and Labor Relations. “It serves as a model for how to engage the entire workforce at all levels to achieve success. The plant is up to the challenge of building this brand-new product, something it’s never seen before.”

Jun 22 2015
The News Wheel

Any good employer knows that healthy employees are happy employees. For Fiat Chrysler Automobiles (FCA) US, this means promoting a variety of programs for a healthy workplace and encouraging its employees to live healthy lifestyles. The Italian-American carmaker offers so many health-oriented course that the National Business Group on Health (NBGH) recently recognized FCA US for its programs, awarding the company the organization’s Gold Medal award.

Jun 22 2015
GM News

Chevrolet announced today it will offer low cab forward medium-duty trucks in the U.S. in 2016, returning the brand to a growing segment of the commercial vehicle market and expanding choices for fleet and commercial truck customers.

The six new models – Chevrolet 3500, 3500HD, 4500, 4500HD, 5500 and 5500 HD – are based on the Isuzu N-Series, which GM will procure from Isuzu and distribute through Chevrolet dealers.

Jun 22 2015
Ford Media

Ford Motor Company Fund will celebrate the achievements of more than 160 graduating seniors from 10 Detroit-area high schools at its sixth annual Blue Oval Scholarship program. The awards, ranging from $250 to $1,000, will be presented Thursday, June 18 at 5:30 p.m. at the Charles H. Wright Museum of African American History.

Filed Under: Job Creation