Ford Motor Company Collective Bargaining Agreement
The union reached the same terms with G.M last month following a strike that shut down most of the company in North America for 40 days. It was the longest national strike against General Motors in 49 years. G.M. said the strike will reduce its operating profit by about $3 billion in 2019. The deal, unveiled last week by Unifor, includes a $1.8 billion investment $US to build electric vehicles under the company`s plan in Oakville, Ont. Dias shared more information during a press conference broadcast live on Facebook. While details of the interim agreement will be presented to members this weekend at a series of virtual ratification meetings, the agreement contains significant commitments for Ford`s Canadian plants. Ford first published the message and called the agreement a victory for all parties involved. «Together with Unifor and as discussions continue with the federal and provincial governments, this agreement is an important step in building a stronger future for our employees, customers and communities,» said Dean Stoneley, President and CEO of Ford Canada, in prepared remarks. Unifor`s local union leaders approved the deal over the weekend and asked workers to ratify the agreement on Sunday. The union also negotiated a five per cent pay increase over the life of the agreement, as well as a four per cent package, a $7,250 productivity and quality bonus, inflation protection bonuses and significant changes to the New Hire Program, including an 8-year salary schedule, and the reintroduction of afternoon and midnight bonuses. «We generally have a good negotiating relationship with Ford,» Dias told the Free Press after ratification. «In 2016, we also made significant investments from Ford.
Ford has a solution story. Looking to the future, Dias indicated that Fiat Chrysler`s Windsor Assembly plant needs additional products. The company reduced its third layer in Windsor when the company completed Dodge Grand Caravan production in August. Under the new agreement, Workers on Ford`s hour will receive two pay increases of 2.5% during the three-year contract; ratification bonuses; and a reduced growth period of eight years for hiring after 11 years, according to the automaker. «This is the largest single investment in the Canadian automotive industry in years that provides Unifor members with long-term job security,» said Jerry Dias, Unifor National President. «The result of the vote not only shows our members` overwhelming support for their bargaining committees and their new collective agreement, but also shows that Unifor members have a clear vision of a strong and prosperous Canadian automotive sector.» The Ford agreement, which was provisionally approved on September 22, involves investments by both the automaker and representatives of the Canadian government. The package, which is mainly paid for by Ford, aims to make the automotive industry in Canada a major player in electrification, Dias said earlier. The agreement between Unifor and Ford is expected to set the tone for upcoming negotiations with Fiat Chrysler and General Motors. Ford Motor Co. of Canada on Monday signed a new employment contract with Canadian auto workers, which will bring a $1.5 billion investment $US the automaker to build battery electric vehicles in Canada. «FCA Canada looks forward to moving forward our discussions with Unifor,» the company said in a statement.