Unifor Ratifies GM Labor Agreement, Oshawa Saved

Matt Posky
by Matt Posky

Unifor members overwhelmingly ratified a new three-year contract with General Motors, effectively ending the union’s 2020 auto bargaining with Detroit automakers. Members backed the contract with 85 percent approval and secured meaningful investments into Canada’s automotive industry, including the $1 billion (USD) investment that saves Oshawa Assembly. It’s an important victory for the union and the Canadian auto workers it represents.

“This contract solidifies and boldly builds on GM’s Canadian footprint, with a $1.3 billion dollar investment that brings 1,700 jobs to Oshawa plus more than $109 million to in-source new transmission work for the Corvette and support continued V8 engine production in St. Catharines,” said Unifor National President Jerry Dias. “Jobs at all three Canadian sites are secure for the life of this agreement, including at the Woodstock Parts Distribution Centre, which will also see upgrades.”

Dias added that the agreement amounts to almost $5 billion (Canadian, along with all subsequent values) once Fiat Chrysler Automobiles and Ford Motor Co had been accounted for.

From Unifor:

The Ford deal reached in September includes $1.95 billion in investments to bring battery electric vehicle production to Oakville and a new engine derivative to Windsor and the Fiat Chrysler agreement includes more than $1.5 billion in investment in a state-of-the-art platform to build both Plug-In Hybrid Vehicles and Battery Electric Vehicles.

All three contracts include support from both the federal and Ontario government.

General Motors had already confirmed that it would immediately begin investing into the Oshawa plant to manufacturer Chevrolet Silverado and GMC Sierra pickups after it had received government support — which seems all but guaranteed. The Ontario government signaled it was already prepared on Monday and was waiting on the federal government to make a move.

Meanwhile, the St. Catharines powertrain factory will receive $84 million in investments under the agreement. It’s going to remain responsible for engine production (V6s and V8s) while also doing transmissions for the Chevrolet Corvette. The latter program will take several months to setup and will reportedly begin the necessary retooling ASAP.

The new three year agreement also includes 5 percent increases to hourly rates, a $7,250 productivity and quality bonus, $4,000 in inflation protection bonuses, new shift premiums, improved benefits, and a reintroduction of the 20 percent wage differential for skilled trades. Unifor also convinced GM to establish an anti-racism action plan, which includes hiring what it referenced as Racial Justice Advocates, and providing employees with up to 10 paid days of domestic violence leave.

[Image: BobNoah/Shutterstock]

Matt Posky
Matt Posky

A staunch consumer advocate tracking industry trends and regulation. Before joining TTAC, Matt spent a decade working for marketing and research firms based in NYC. Clients included several of the world’s largest automakers, global tire brands, and aftermarket part suppliers. Dissatisfied with the corporate world and resentful of having to wear suits everyday, he pivoted to writing about cars. Since then, that man has become an ardent supporter of the right-to-repair movement, been interviewed on the auto industry by national radio broadcasts, driven more rental cars than anyone ever should, participated in amateur rallying events, and received the requisite minimum training as sanctioned by the SCCA. Handy with a wrench, Matt grew up surrounded by Detroit auto workers and managed to get a pizza delivery job before he was legally eligible. He later found himself driving box trucks through Manhattan, guaranteeing future sympathy for actual truckers. He continues to conduct research pertaining to the automotive sector as an independent contractor and has since moved back to his native Michigan, closer to where the cars are born. A contrarian, Matt claims to prefer understeer — stating that front and all-wheel drive vehicles cater best to his driving style.

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  • Mikey Mikey on Nov 11, 2020

    Thank you.... Yeah, I'm still here I lurk more than I post.. The rumour mill was all over this a month ago. GM started recalling tradesmen in late summer. With only a handful 250-300 people keeping 3 -4 stamping presses running, it seemed odd to need more staff.. ? On a sunny day late October I took the Mustang out for an end of season cruise past the GM plant....Lots of vehicles in the parking lots ..? Several previously closed dock doors, wide open ?? More than a few hard hats walking around ? I figured something was up. Around these parts November sunny days are few and far between ...Good news from GM... is even more rare !!! Kudos to GM and UNIFOR !!!!.

  • Jeff Semenak Jeff Semenak on Nov 15, 2020

    Racial Justice Advocates? What the Holy Hell, does that plush feather-bedding have to do with building Cars and Trucks?

  • Todd In Canada Mazda has a 3 year bumper to bumper & 5 year unlimited mileage drivetrain warranty. Mazdas are a DIY dream of high school auto mechanics 101 easy to work on reliable simplicity. IMO the Mazda is way better looking.
  • Tane94 Blue Mini, love Minis because it's total custom ordering and the S has the BMW turbo engine.
  • AZFelix What could possibly go wrong with putting your life in the robotic hands of precision crafted and expertly programmed machinery?
  • Orange260z I'm facing the "tire aging out" issue as well - the Conti ECS on my 911 have 2017 date codes but have lots (likely >70%) tread remaining. The tires have spent quite little time in the sun, as the car has become a garage queen and has likely had ~10K kms put on in the last 5 years. I did notice that they were getting harder last year, as the car pushes more in corners and the back end breaks loose under heavy acceleration. I'll have to do a careful inspection for cracks when I get the car out for the summer in the coming weeks.
  • VoGhost Interesting comments. Back in reality, AV is already here, and the experience to date has been that AV is far safer than most drivers. But I guess your "news" didn't tell you that, for some reason.
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