Tag Archives: Re-Think Canada’s Auto Industry

CAW Members Approve New Chrysler Two-Tier Labor Contract

CAW members at Chrysler have approved a new collective bargaining agreement, voting 90% for ratification, the Canadian union announced late yesterday. The number of Chrysler members actually casting ballots was not disclosed after ratification meetings held over the weekend in Windsor, Brampton and Etobicoke, Ontario.

It was the end of a difficult series of negotiations for the weakened union, as the three multinational automakers – Chrysler, Ford and GM – presented a united front and asked for the end of all defined benefit pensions, cuts in current wages, which ranged from C$34-$41, dropping the “30 years and out” retirement provision, and elimination of most work rules. The Detroit Three argued that an overvalued Canadian dollar, unhealthy financial markets, and increasing imports from Asia and Europe, required the drastic givebacks. When the deal was finally done, a partial victory emerged for both sides, and it was arguably the best the union could do against job-exporting automakers without bringing the factories tumbling down on its own union members. Continue reading

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