NATION : Slump in Small Car Sales Forces Ford to Idle Escort Plant in N.J.
<i> From Times wire services</i>
DEARBORN, Mich. —
Slumping sales of small cars prompted Ford Motor Co. to idle its Edison, N.J., Escort plant this week in the robust auto maker’s first U.S. layoffs since 1983, the company said today.
Analysts said the shutdown reflects an industrywide decline in small car sales that is due mainly to economic uncertainty on the part of car buyers.
Ford spokesman Raymond Windecker said the auto maker does not know when the Edison plant, which employs 1,500 workers, will reopen. He said a decision will be made on a week-to-week basis.
Sales of Escort models are down 8% this year and Ford has a 100-day supply of the cars, compared with the 60- to 65-day supply considered the ideal inventory level.
