This article was last updated on April 16, 2022
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Unifor and Fiat Chrysler Automobiles NV have reached a much needed last-minute tentative agreement to avert a strike call by over 10,000 auto workers that would have resulted in complete shutdown of the company’s two Canadian assembly plants and a factory that makes engine parts and other components.
Negotiations were held for weeks against a so-called pattern agreement reached last month with General Motors Co. and now Fiat Chrysler has agreed to a new contract that provides workers with $12,000 in bonuses spread over four years and wage increases of 2 per cent in each of the first and fourth years of a new contract. According to an agreement between the Canadian union and the auto maker, an investment of $325-million will be used to construct a new paint shop at its plant in Brampton, Ont., in order to secure its future.
In a news conference on late Monday night in Toronto, Unifor president Jerry Dias confessed that “this has been one very difficult set of negotiations.” According to the new contract approved by General Motors of Canada Co. unionized employees, there will be pay gains for newly hired workers. The new pay scale will provide raises in the first three years of the new contract, whereas previously there was an hourly pay rate to $20.40 for the first three years of employment before workers progressed up a 10-year pay grid to the same hourly wages as traditional employees. The progression to the full rate of about $34 an hour begins immediately under the new deal.
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