Breaking: Canadian Autoworkers Overwhelmingly Approve Game-Changing Deal with Ford

Breaking: Canadian Autoworkers Overwhelmingly Approve Game-Changing Deal with Ford

Unifor members vote on promising 3-year deal with Ford Canada's autoworkers union began voting on a tentative agreement, strengthening their future with Ford Motor Co

Canada's autoworkers union, Unifor, has started voting on a proposed three-year agreement with Ford Motor Co. The union announced the agreement last week and described it as "exceptional." Following unanimous endorsement from the local unions' leadership, member voting began on Saturday, and the results will be disclosed on Sunday.

"This round of collective bargaining was exceptional, occurring during an extraordinary period," stated the unions' leadership in a joint communication to union members featured in the bargaining report. "Autoworkers, like all employees, are facing a financial crisis and escalating expenses. Families are burdened by high interest rates, causing economic uncertainty. We are still recovering from the devastating impact of the pandemic and enduring supply shortages that have negatively impacted our jobs. Amidst these challenges, there is a once-in-a-century transformation of the automotive sector that, if executed correctly, will expand Canada's industrial presence."

The agreement addresses Unifor's key priorities, such as enhanced retirement plans and income stability to facilitate the shift towards electric vehicles. It encompasses a 10% wage hike in the initial year of the agreement, effective from September 25, followed by 2% and 3% increases over the subsequent two years of the contract.

The agreement eliminates the health care deductible for all current and former employees, while also negotiating pension improvements for the first time since 2005. Current retirees who retired before October 1, 2023, will receive quarterly payments of up to $148 under the new deal.

If approved, the deal will impact nearly 5,700 union members, including 5,300 workers at three plants, as well as approximately 400 workers across three distribution centers and two offices. Additionally, this agreement will serve as a blueprint for Unifor's pattern bargaining, potentially leading to new contracts with Stellantis and General Motors.

Ford has chosen to refrain from commenting on the specifics of the preliminary agreement as Unifor proceeds with the ratification vote. Concurrently, Ford is making progress in its discussions with the United Auto Workers, the union representing workers in the United States. UAW President Shawn Fain expressed acknowledgement on Friday regarding Ford's commitment to reaching a mutually beneficial resolution.

As a result, the strike at Ford has been limited to a single location, while the union has extended its strike to encompass all parts distribution centers at General Motors and Stellantis.

The UAW declined to comment on the terms of the Unifor agreement with Ford.