Ford to cut 900 jobs as Mustang sales fall

February 19th 2010,
Ford to cut 900 jobs as Mustang sales fall

Ford Motor Co. has announced that it plans to lay off 900 employees at its Michigan plant, which manufactures the Mustang.

The automaker says the move is the result of sluggish sales in 2009 because of the tough economy, as well as competition from the new Chevrolet Camaro, which is made in Oshawa, Ontario.

The company's spokeswoman Marcey Evans said, "Ford will eliminate the shift at the Flat Rock, Michigan plant from July 12, 2010."

However, she added, "Most of the workers at the plant will be offered work at other Ford plants."

Mustang sales fell 27 percent last year in the U.S., being outsold by the Camaro by nearly 5,000 cars. The Camaro hasn't outsold the Mustang since 1985.