2021 PROFIT SHARING PAYOUT

Under the provisions of the 2019 UAW-Ford Collective Bargaining Agreement, all eligible hourly employees will receive a Profit-Sharing payment on Thursday, March 10, 2022.

Per the formula in the UAW-Ford Collective Bargaining Agreement, Ford’s North American pretax profits will generate approximately $7,377 per eligible employee on a full-year basis. Payments will be higher or lower, based upon employee compensated hours.

IMPORTANT REMINDER – The Profit-Sharing payment will utilize your latest bonus election on myfordbenefits.com.
(Cash payment, TESPHE payment, Ford Interest Advantage payment)
The deadline to update your bonus election is February 25, 2022, 4 p.m. Eastern Time to ensure it is in time for the Profit-Sharing payment.

If you do not have an existing bonus election on myfordbenefits.com or have elected 100% cash, you will receive all cash (check or direct deposit).
Note: Cash payments are subject to withholding of Federal income taxes at the rate of 22%, Social Security taxes generally at the rate of 7.65%, required state and local taxes, and any other mandatory deductions (e.g., outstanding income withholding orders and/or child support obligations).
Payment will be made on March 10, unless subject to any outstanding income withholding orders.

To verify if you have made a bonus election, visit:
myfordbenefits.com > Build Your Savings & Retirement > Savings Plan > Change Contributions > Bonus Election
or contact the National Employee Services Center (NESC) at 1-800-248-4444

Frequently asked questions…

Q. Could some employees receive more than $7,377?
Yes. Since individual payments are based upon eligible compensated hours, an employee who was compensated for overtime hours worked during the calendar year could receive more than $7,377.

Q. Which U.S. employees get Profit Sharing?
Regular full-time hourly employees in the U.S. are eligible to receive Profit Sharing amounts unless they have terminated their employment for a reason other than death, layoff or approved leave, retirement, or sale of the operation in which they were employed.

Q. How is the Profit-Sharing amount calculated?
It is calculated through a formula based on North America profits on a pre-tax basis and excluding “special items.”
The formula generates a Profit-Sharing pool based on $1 for every $1 million of North America pre-tax profit and compensated hours by employee.
Individual payments vary based upon the individual’s eligible compensated hours. Compensated hours are the number of hours for which employees are compensated. Hours for things like paid vacation time, paid holiday time, etc., are included in the calculation.

Compensated hours include hours that an eligible employee receives pay in the Plan Year for:

• Base Pay

• Vacation

• Holiday

• Overtime (with each hour paid at premium rates to be counted as one hour)

• Bereavement

• Apprentice Training

• Jury Duty

• Short-term Military Duty

• Family Day

• Call-in

Q. Can you give an example of how the formula works in practice?
Number of Participants with ≥ 1,850 Compensated Hours = 20,172
Number of Participants with < 1,850 Compensated Hours = 33,839
Avg. Compensated Hours for Participants with < 1,850 Compensated Hours = 1,323.5
Eligible Profit-Sharing Amount = $7,377
Total Compensated Hours = 92.4 million

Total Profit-Sharing Fund:
(20,172 * $7,377) + (33,839 * $7,377 * (1,323.5 / 1,850)) = $327,395,712

Profit Share Per Compensated Hour:
$327.4 million / 92.4 million hours = $3.54/hour

Examples:
Employee A – 2,400 Compensated Hours * $3.54 = $8,496
Employee B – 1,850 Compensated Hours * $3.54 = $6,549
Employee C – 800 Compensated Hours * $3.54 = $2,832

Note: This is an example and utilizes rounding. Final profit share per compensated hour may vary from this example.

Q. How are union dues calculated?
Gross profit-sharing amount multiplied by the union dues factor of 1.44%.

Last Updated: 2/3/2022