Ford Motor Company’s Exclusion of the Older Worker
Power Point to accompany Opportunities and Challenges of Workplace Diversity by Kathryn A. Cañas and Harris Sondak
Prepared by Levi Baker, Kathryn A. Cañas, and Harris Sondak “I will build a motorcar for the great multitude.”
-Henry Ford
Case Overview
• Ford Chief Executive Officer, Jacques Nasser
• A History of Diversity at Ford
• Nasser’s Diversity Crusade
• Nasser’s Performance Management Process (PMP)
• Older Workers Sue Ford for Discrimination
• The Age Discrimination in Employment Act
• Ford Settles Lawsuits and Moves On
• Case Conclusions
• Discussion Questions
Jacques Nasser
Jacques Nasser
A History of Diversity at Ford
Nasser’s Diversity Campaign
Nasser’s Performance Management Process (PMP)
• Modeled after GE and Microsoft
• Used to rank Ford’s 18,000 managers
• Stated that managers’ bonuses hinged on diversity goals
Nasser’s Performance Management Process (PMP)
Older Workers Sue
• The plaintiffs consisted entirely of white males.
• The plaintiffs claimed “reverse discrimination” based on race and sex but later dropped this claim to focus on age.
• The plaintiffs consisted of employees of both sexes and multiple ethnicities.
• The suit was given national recognition when it was supported by the AARP.
• The plaintiffs claimed that management was attempting to eliminate older salaried workers.
Older Workers Sue “We are in the middle of transforming one of the biggest companies in the world. You aren’t going to do that by pleasing everybody, by having some kind of consensus. We know we are going to upset some people. Maybe they shouldn’t be a part of Ford Motor Co.”
– David Murphy, Human Resources Vice-President
Older Workers Sue
“We are trapped in a mono-cultural environment that is dominated by old white males. We need to change. We need more employees who are more reflective of our consumer base.”
– Richard