Ford and UGT sign 2030 labor agreement for Almussafes plant ahead of Geely partnership

Terms of the 2030 labor agreement

Ford management and majority union UGT signed a four-year collective agreement on Wednesday during a negotiating commission meeting at the Almussafes plant in Valencia. The pact, named Acuerdo 2030, sets working conditions and wage updates from 1 January 2027 through the end of 2030 for more than 4,000 workers at the facility. Under the agreed terms, salary increases will exceed the consumer price index for each covered year. The deal also incorporates a mandatory retroactive review clause applied on 1 January of each annual cycle.

The agreement establishes structured compensation adjustments over the four-year duration. A special bonus (Gratificación Especial) will increase to 1,000 euros starting in 2027. Beginning in 2029, this payment will be formally consolidated into standard wage tables, ensuring that it increases at the same rate as base salaries in subsequent years. All provisions of the contract will undergo continuous verification through the plant's Electrification Observatory Commission.

Industrial alliance and vehicle production with Geely

The collective agreement establishes operational stability ahead of industrial integration with Chinese automaker Geely. In July 2026, Ford announced a joint venture under which Geely acquires a 34% stake in the Almussafes assembly facility. Beginning in 2028, the plant will produce five vehicle models under the partnership. The planned output includes two Chinese-designed SUV models, one shared crossover vehicle, and two other models manufactured on site.

Union representatives stated that the multi-year framework provides commercial clarity for the plant following months of talks.

It will make it possible to look ahead with long-range vision to many years of certainty for the workforce, promoting the creation of thousands of direct and indirect jobs, with decent wages and rights, as well as a strong boost to economic activity for the Valencian Community.

Union negotiations and plant operations

The signing followed weeks of tense discussions between plant management and labor delegates. On Monday, Ford Spain informed the workforce that negotiating room had reached its limit and that further concessions or cost increases were not possible. UGT endorsed the final proposal, citing widespread support across worker assemblies.

We are firmly convinced, now that we are about to celebrate the 50th anniversary of the factory, that the unanimous backing in our assemblies for achieving the RED Mechanism and for securing this Acuerdo 2030 has been key and decisive for Ford Almussafes to return to what it was in other times and thus be able to look toward another fifty years with optimism.

Minority union STM-Intersindical Valenciana rejected the contract and declined to sign. STM-Intersindical stated that the wage provisions were insufficient and voiced opposition to the creation of a working hours bank that mandates Saturday shifts.

The agreement replaces the electrification pact signed by Ford and UGT in 2022, which formed the plant collective agreement running through 2026. The Almussafes factory continues to operate under a temporary redundancy scheme (ERTE), supported by the government RED Mechanism, which may be extended into 2027 before joint production begins.