Ford Motor Company has decided to shut down an assembly plant at Oakville, Ontario due to a shortage in component supplies from Rico Auto Industries. The Oakville plant will remain closed from October 26 to October 30, 2009. Gurgaon based Rico Auto has been facing labour unrest since September 21, 2009, when 16 of the company’s employees were suspended for indiscipline. The workers’ major demand is the registration of a trade union. Rico had been meeting production targets in spite of the agitation, until an employee was killed last Sunday. Following this, workers brought production to a stop, resulting in a disruption in order schedules. The affected plant in Oakville manufactures crossover vehicles – Ford Flex, Ford Edge, Lincoln MKX and Lincoln MKT. Rico’s other customers include General Motors and Jaguar Land Rover. Both companies said that they had not been affected by the Rico strike.
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