GM committed to invest its plant in Oshawa, Ontario, as part of the new deal.
General Motors workers represented by Unifor ratified a new contract that includes pay raises totaling 4% during the course of the agreement, thousands of dollars in bonuses and $420 million in investment by GM in its Canadian operations in Oshawa, St. Catharines and Woodstock, Ontario.
The ratification vote was closer than expected, 65% to 35%, reflecting a measure of disappointment among Canadian workers regarding the continuation of the 10-year grow-in period for new workers to reach the contract’s top wage. The ratification results among skilled trades was even closer as the agreement was approved by just 56% of the union members voting on the pact.
However, union leaders said they were satisfied with the outcome of the negotiations. The new contract did meet the union’s top goal of winning commitments for new investment, Unifor officials said.
“The gains made in this Agreement are historic and more than what has been achieved in the past 10 years. Unifor has shown what is possible when workers have a union, and a united bargaining committee to speak on their behalf,” said Unifor National President Jerry Dias.
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“I am proud to say today that we have secured a bright future, one that includes good full-time jobs with benefits and wage increases for future generations, and a solid economic base for our communities and all our members,” said the Unifor-GM Master Bargaining Committee Chair, Greg Moffat of Local 222.
GM echoed the positive sentiments about the new deal.
“We are pleased that Unifor members have today ratified a new collective agreement, covering hourly employees at our Oshawa and St. Catharines manufacturing plants and our Woodstock parts distribution facility.
“This mutually beneficial new agreement will enable new product, technology and process investments that will preserve jobs and place our Canadian operations at the forefront of advanced manufacturing flexibility, innovation and environmental sustainability,” GM said in statement after the outcome of the ratification vote was announced.
(Click Here for more about the deal between Unifor and GM in Canada.)
“GM Canada is also in discussions with the federal and Ontario governments toward potential support agreements to help optimize the competitiveness of our Canadian operations for the future. Further details on our plans will be shared after completion of our discussions with governments.”
The new agreement with Unifor covers 3,900 GM employees.
The ratified deal with GM sets the pattern for contract talks that begin with Fiat Chrysler on Monday. Once a deal with FCA is ratified, negotiations will begin with Ford.
(Canadian auto workers authorize strike for talks with Detroit’s Big Three. Click Here for the details.)
Last week, FCA set a strike deadline of 11:59 p.m. on Oct. 10. With the GM pact in hand, a settlement with FCA is expected by the deadline.