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Business news, 11.12.2007 15:06

Ford says more Russian workers return after strike

Ford's Russian plant U.S. car maker Ford Motor Co said on Monday it was running its Russian plant at two-thirds of capacity as more workers had ended a strike at the factory near St Petersburg.

"This midnight we have resumed production at the Ford plant in Vsevolozhsk on a two-shift basis," Ford said in a statement.

Local union leaders were not immediately available for comment.

Workers at Ford's Russian plant have been striking since Nov. 20, demanding a 30 percent wage increase. High inflation in Russia has fuelled demands for higher wages across the country.

The plant normally operates three shifts per day using around 2,000 workers and producing 300 Focus model cars per day. Production on a single-shift basis resumed on Nov. 28.

The factory's administrators have said they will not negotiate with unions until all employees return to work.

The Ford factory in Russia plans to invest $100 million to increase capacity to 125,000 cars per year. The head of the factory has warned that the strike may affect these plans.

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