GLENDALE, Ky. (WDRB) — Kentucky invested $250 million in taxpayer money to bring BlueOval SK to the state.
This week, every worker at the Glendale electric vehicle battery plant was laid off.
The shutdown affects all 1,600 employees at the facility and comes after a series of delays, including the decision never to open a second plant known as “Kentucky 2.”
The layoffs also come just four months after production began at Kentucky 1.
The state incentive package included a $250 million forgivable, interest-free loan to BlueOval SK, intended to support job creation in Kentucky.
In 2021, lawmakers passed Senate Bill 5, which moved $350 million from the general fund to the Kentucky Economic Development Finance Authority to provide forgivable loans for large economic development projects.
Among those who voted in favor was Kevin Bratcher, who was a state representative at the time and is now a Louisville Metro Council member.
“We wanted to help Ford. It’s starting to look like it might’ve been a mistake now,” Bratcher said.
Under the agreement, BlueOval SK committed to creating 2,500 jobs by the end of 2026 and 5,000 jobs by the end of 2031. The first benchmark now appears unlikely to be met.
The repurposed Glendale plant is not expected to open until late 2027 and is projected to employ 2,100 workers—well short of the original target for 2026.
When asked what should happen if the company fails to meet its commitments, Bratcher said the state should seek repayment.
“They should give the money back—that’s what I say. Now, there’s no law that says they have to do that,” he said.
WDRB asked Gov. Andy Beshear what happens to the taxpayer dollars now.
“We are talking with Ford about it right now,” Beshear said. “Ford is taking the position of the joint venture. Now we have to look at overall numbers of employees and when they think they’ll hit them for the number of years, so those are ongoing discussions.”
Ford has not responded yet to requests for comment on if they will pay back any of the money.
Beshear has not provided further details about those talks. WDRB has filed an open records request seeking the full incentive contract and any changes made since the original plant announcement.
The governor also placed blame on federal policy changes, singling out Congressman Brett Guthrie.
“With what the President did in the big ugly bill, with what Brett Guthrie did—because this is in his district—in passing it they took a hatchet to the EV industry where we’ve become a national leader,” Beshear said. “Any temporary job loss is directly on this President and that Congressman because there was a big bright future.”
Guthrie responded in a statement, saying Beshear was deflecting responsibility.
“Governor Beshear is once again trying to deflect from the fact that the policies he and the Biden-Harris Administration championed have made life more expensive and limited choice for the American people,” Guthrie said. “Rather than own up to the fact that the Electric Vehicle mandate was not what the American people wanted, he tries to pass the blame for decisions that came as a result of lack of market demand.”
Guthrie added that he has long warned about the costs of a nationwide EV mandate.
“The truth is, even with costly taxpayer subsidies and heavy-handed government mandates, Electric Vehicles were not what all American people wanted nor could afford to buy,” he said.
Despite the layoffs, Guthrie said he remains confident in Ford’s long-term plans for the Glendale facility.
“I am confident in Ford’s commitment to growing the number of jobs at the Glendale facility over the next several years,” Guthrie said. “Ford’s facility in Glendale will create the jobs of the future right here in our community, providing increased battery storage for new advanced manufacturing projects, strengthening our electric grid’s reliability, and continuing to provide economic growth.”
More Coverage:
Kentucky battery plant workers hoping for 'stability' in Glendale blindsided by layoffs
All 1,600 Kentucky battery plant employees laid off as Ford pivots away from EV business
Ford ends SK On partnership, takes full control of Kentucky battery plant amid EV downturn
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