Steel Markets

Ford, Unifor Reach Tentative Pact on Canadian Contract

September 22, 2020

Ford and Canadian union Unifor have reached a tentative agreement for a new three-year contract. Contract negotiations were extended after the original contract expired yesterday at midnight. Both parties agreed to work through the night to avoid a strike by Canadian autoworkers.

Ford was selected by Unifor to set the pattern for automotive negotiations with Canadian auto manufacturers. The union hoped to secure commitments from Ford to build electric vehicles at its Oakville, Ontario, assembly plant. Production of EVs would replace manufacturing of the Ford Edge and Lincoln Nautilus SUVs that is scheduled to end in 2023.

During a press conference on Tuesday, union president Jerry Dias unveiled the tentative agreement and said “I am pleased to announce investments as part of our settlement totaling $1.95 billion dollars to build electric vehicles in Canada, primarily in our workplaces in Oakville and Windsor.

“We are now positioned to be the jewel in Ford’s crown and a key part of Ford’s future success transitioning to greener technology,” added Dias. “As an organization, we’ve hit a home run.”

Unifor represents about 19,400 autoworkers at the Detroit 3 plants in Canada including 6,300 at Ford’s distribution centers, Oakville facility and two engine plants in Windsor, Ontario.

Details of the agreement are being withheld until it can be reviewed and ratified by the Unifor membership. Dias announced that the next target for automotive negotiations will be Fiat Chrysler NA.