• Mar 29, 2009
After declaring that the deal GM struck with the Canadian Auto Workers union wasn't nearly good enough, Chrysler has threatened to pull out of Canada if cannot come to an agreement with the CAW by Tuesday, March 31. Making matters even more pressing is the fact that the Canadian government has set the same deadline for Chrysler's Canadian operations to receive government money. If the CAW and Chrysler don't agree on something, the Canadian treasury closes up the vault.

As of Friday, the two sides were still $12-per-hour away from a deal. Chrysler says it needs a $19-per-hour reduction in labor costs, the CAW says its workers are more efficient than their American counterparts at a $7-per-hour drop. The CAW also claims that Chrysler's negotiators would appear to agree to certain things, and then return to the table with a different set of demands. The theory is that chaperon Cerberus is overruling the negotiators' positions.

Chrysler's response is "Although we made progress toward 'closing the gap', significant issues related to the existing 'pattern' remain on the table. These are not normal business circumstances and all Chrysler constituents have been asked to 'break pattern.'" As for the Canadian government, it has said it "isn't married" to the Tuesday deadline, but it's obvious they don't plan to stand around with a bag of money indefinitely. Hat tip to Dan

[Source: CBC News]




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    • 1 Second Ago
  • 9 Comments
      • 5 Years Ago
      let Chrysler go away, and they should not be allowed to sell in Canada. Simple deal: get all the taxes.Canada can liquidate all the assets of Chrysler and get the taxes and invite some other Chinese/Indian manufacture and use the plants.

      Mahindra has good off road offers and we will have good cars :-)
      End of story
        • 5 Years Ago
        Those plants are just buildings, Chrysler owns all equipment!!!!
      • 5 Years Ago
      I think that Canada should let Chrysler go! I have no sympathy for the employees and the CAW in these economical times. The employees make great money with very little education. I am an ER nurse who works long hours and make less money than the Chrysler employees.
      • 5 Years Ago
      I also think thework force would rather take pay cut than a job cut. But the CAW wants to keep collecting there huge union dues from the workers so that will not happen.
      • 5 Years Ago
      Most people can live with a wage around $18 to $22 per hr why can the auto sector not.
      • 5 Years Ago
      The Emperor is bare. Nuff said.
      • 5 Years Ago
      Just make it $13. It's called SHARING.

      Weren't we taught this as kindgerteners?