The workers of the Ford plant in Leningrad region went on strike after they failed to agree with the management on guarantees on salaries, labour safety and social benefits, which are in force at all Ford plants all over the world.

This time trade union didn`t compromise with the management, which offered wage raise instead of social guarantees.

The Leningrad region court said the strike is illegal, but ubtil its decision comes into force the plant will not produce cars. The losses are estimated around 4 mln dollars daily.

Earlier Ford Motor Company planned to increase sales in Russia 29.3% in 2007. In 2006 Ford sold 115,985 cars in Russia, a market share of some 12%. Ford`s Russia President Henrik Nenzen said that revenue from Russia last year had topped $2 billion.

The strike will surely affect Ford`s revenues this year, if it goes on for 40 more days, as workers imply. They want to apply to the court to accept the strike as legal, in this case Ford will not produce anything for 40 days.
sections: Economics, Region News
areas: North-West region