Canadian Workers Union Strike On Hold As Tentative Agreement Received: 'General Motors Had No Choice'

Detroit-based automaker General Motors Co GM has reached a tentative agreement with Canadian workers’ union Unifor after the workers went on strike at midnight.

What Happened: Work resumed at all the GM facilities on the receipt of the agreement which includes a base hourly wage increase of nearly 20% for production workers. General wage will increase 10% in the first year, 2% in the second, and 3% in the third year of said agreement.

Strike actions are now on hold to allow the members to vote on the tentative agreement.

Unifor kickstarted strike action against General Motors at midnight after the company failed to meet the union's demands for pension and income support for retired workers, among others. The strike included about 4,280 workers at GM's Oshawa Assembly Complex and CCA Stamped Products, St. Catharines Powertrain Plant, and Woodstock Parts Distribution Centre.

“When faced with the shutdown of these key facilities General Motors had no choice but to get serious at the table and agree to the pattern,” said Unifor National President Lana Payne.

Why It Matters: Unifor opened negotiations with all three Detroit automakers- Ford Motor Co, General Motors, and Stellantis NV in early August for better pay and pensions. However, it decided to concentrate on Ford on nearing contract expiry. The idea was to reach an agreement with Ford, which could set the ground for contracts with the other two.

“The solidarity of our members has led to a comprehensive tentative agreement that follows the pattern set at Ford Motor Company to the letter, including all items that company had initial fought us on such as pensions, retiree income supports and converting full-time temporary workers into permanent employees over the life of the agreement,” Payne added.

Photo by Jonathan Weiss on Shutterstock

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