5 Oct 2011

Ford pay deal announced

9:15 pm on 5 October 2011

Ford says it has agreed in principle to a four-year pay deal with the United Auto Workers union.

The US carmaker says the settlement will make it more competitive in its home market.

Ford has already announced it plans to invest an additional $US4.8 billion in its factories in the United States and to create 5750 jobs by 2015.

It says the move will include transferring work to the US that is currently carried out in Mexico, China and Japan.

The BBC reports this is in addition to 7000 new jobs the company previously promised to introduce by the end of 2012.