Canada : Oshawa's labour agreement with GM buoys Brampton auto workers
Monday's midnight agreement between General Motors (GM) and the union representing its workers at the Oshawa plant averted a strike there and sent a hopeful message to Brampton auto workers.
"I do believe our membership will be a little more relieved,” said Leon Rideout, president of Unifor local 1285, which represents the approximately 3,700 Brampton Ford-Chrysler Automobiles (FCA) workers.
The Brampton workers remain in a legal position to strike, but consider the terms arrived at in the GM agreement as reason to believe they will reach a favourable agreement with FCA when it is their turn to sit at the negotiating table.
“We are not anticipating a strike, but we are prepared just in case,” said Rideout.
Unifor picked GM Sept. 6 as the target company to negotiate with, in order to set a pattern with the Detroit Three automakers in Canada – GM, Ford and FCA. A strike deadline was set for Sept. 20. A tentative agreement was reached shortly before midnight Monday, Sept. 19. Members will vote on it this weekend.
Unifor is striving for a new paint shop in Brampton as well as upgrades to the body shop along with some wage increases.
“With the pattern being set at GM it will help us achieve what we are after,” Rideout added. “GM had been taking the position that there would be no new product announcements until bargaining is complete. The power of deadline bargaining goes a long way.”
The tentative deal struck with the Oshawa auto workers ensures a new vehicle for the flex line at their assembly plant, which previously had no commitment beyond 2019. This facility currently builds the Buick Regal, Chevy Impala and Cadillac XTS.
The deal also includes pension concessions by the union and a rare shift in work from Mexico to Ontario. GM promised to move some engine production from Mexico to St. Catharines.
"I believe this is the first time that I can remember where there has been a migration of product from Mexico to Canada,” said Unifor president Jerry Dias. "Heaven only knows we've seen enough of it go the other way around.”
The union said it won wage increases for workers, a higher start rate for new hires and a signing bonus. Ratification votes for almost 4,000 workers are scheduled for Sunday.
The next step in the process is to wait and see which of the auto manufacturers Unifor’s national president selects to bargain with next. An announcement is expected later this week.
The Brampton FCA plant produces about 930 Dodge Challengers, Dodge Chargers and Chrysler 300s a day. Ninety per cent of what is made in Brampton is shipped south of the border.
Workers there earn about $35 an hour and enjoy a benefit plan. Newly hired workers start at $20.50 an hour.
Unifor is Canada's largest union in the private sector, representing more than 310,000 workers, including about 23,050 Unifor members at the Detroit Three automakers.