Canadian Union Unifor Begins Contract Talks with Detroit 3 Automakers
Unifor, a Canadian union, has officially opened contract talks with the Detroit 3 automakers in Toronto on Aug. 10. These negotiations come as Ford, General Motors, and Stellantis invest billions of dollars in new battery production plants and electric vehicle projects across North America. These talks also follow a period of high profitability for automakers, which has raised expectations among union members. Unifor has expressed its top priorities for the negotiations, including higher wages, improved pensions, and support for workers during the industry’s transition to electric vehicles. Unlike previous rounds of bargaining, Canadian and American auto workers will be negotiating simultaneously. The contracts of the American workers with the UAW expire on Sept. 14, just four days before Unifor’s contracts. Automotive News Canada spoke with insiders to understand how each automaker is preparing for negotiations with Unifor.
Ford’s Approach to Contract Talks
Ford Motor Co. of Canada plans to navigate the transition to electric vehicles while acknowledging the hard work of its staff in Canada. The company’s goal is to balance these two priorities as negotiations progress. Ford Canada employs nearly 5,700 Unifor workers in Canada, and their hourly wages range from C$24.15 to C$36. The company has committed to spending $1.8 billion to retool its assembly plant in Oakville for EV production. While the company acknowledges the challenges faced by workers, it remains optimistic about the future of the Canadian automotive industry.
General Motors’ Strategy
General Motors (GM) has significantly expanded its Canadian operations since the last round of contract talks with Unifor. The company has reopened its Oshawa Assembly Plant, launched Canada’s first large-scale EV plant, and ventured into battery material production in Quebec. These investments are expected to change the focus of negotiations between GM and Unifor, shifting towards contract economics and local plant issues. GM Canada employs around 4,300 Unifor members in Oshawa, St. Catharines, and Woodstock. The company’s current wage structure for production workers starts at C$24.26 per hour and increases to C$37.33 per hour after eight years of seniority. GM will strive to maintain its competitiveness while recognizing employees’ contributions.
Stellantis’ Position
Unifor President Lana Payne has maintained a close relationship with Stellantis in the lead-up to contract talks. The union’s bargaining team visited Stellantis’ Brampton Assembly Plant alongside the company’s COO for North America. Stellantis recently secured a battery plant deal with the Canadian and Ontario governments, ensuring its long-term presence in the country. The company praised Unifor for its assistance in resolving a funding issue with the federal government. Stellantis is eager to engage in negotiations and is willing to address union priorities such as higher wages. The company has committed $3.6 billion to retool its Windsor and Brampton plants for EV production, solidifying its commitment to these assembly sites.
