REPORT: GM reaches deal with Canadian Auto Workers union
After two weeks of intense negotiations, General Motors Canada and the Canadian Auto Workers (CAW) union have reached a deal that will help the automaker cut costs, allowing it to meet the terms for additional government loans. Ken Lewenza, head of the CAW, said it was "a struggle" to reach a deal with GM, but he added that the union had done the best it could under the circumstances, saying: "we have protected most of our core benefits." Wages, pensions and most benefits were preserved, although restructured in some instances. The union's pension rates will be frozen until 2015, for instance. The deal also keeps GM's plants in Oshawa, St. Catharines and Woodstock open for the foreseeable future. In total, it is believed that the new deal will result in $15 to $16 hourly wage savings on average. The announcement comes a day after the UAW reached a deal of its own with GM.
Although a different agreement was signed with the CAW in March, it had been rejected by the provincial and federal governments who wanted more cost-cutting to avoid bankruptcy. Although GM now appears to be heading in the same direction as Chrysler, hopefully there will be enough progress before the June 1 deadline to keep Chapter 11 a viable option. All told, the recent deals mean that 16 GM factories will close and an additional 21,000 hourly workers will be out of a job.
[Source: CTV]
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Reader Comments (Page 1 of 1)
cb0477 4:33PM (5/22/2009)
at this point does it really matter....NO!
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BoxerFanatic 4:40PM (5/22/2009)
"we have protected most of our core benefits."
Yeah, because that is what counts, when biting the hand that feeds you.
Morons.
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doubles 5:22PM (5/22/2009)
I'm so glad that I'm not the only one who sees it this way.
Dude 4:46PM (5/22/2009)
I thought our "Dear Leader" said to "buy American"? Now he turns around and lets his Govt. Motors sign a deal to continue to outsource car production.
Is his teleprompter playing tricks on him again?
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Mr.K 5:27PM (5/22/2009)
I'm assuming that "Buy American" means "North American", but I'm not sure. There are lots of bumper stickers up here in Canada that say "Out of a job yet? Keep buying foreign!". Often these are placed on cars largely assembled in Mexico, or the US. Their clothes are also made in Asia.
I don't really understand these people's mindsets, especially in my area about half of the factory jobs are from Honda or Toyota (Civics, Ravs, etc.)
I saw a sticker on a Jetta once too, lol.
doubles 5:36PM (5/22/2009)
As Mr. K points out, he did mean North American. From what I understand, all of the big three are owned by both American and Canadian investors. If any of the big three did not create jobs and economic growth in Canada, then Canadians would not be driving their vehicles. It's kinda how free trade works.
Mr. K - I've seen similar stickers in my area even, and we're a long way from Ontario where the jobs are being lost.
JCUOIT 6:19PM (5/22/2009)
HEY! the CAMI plant is in Ingersoll, not woodstock!
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xtasi 7:35PM (5/22/2009)
@Dude
last I checked "America" is a continent. If you are referring to "US made by US companies", then you should state that. However, that will probably not include Chrysler in the near future (because of FIAT).
There's a saying ,don't know where I heard it "when Facism comes to the US it will come as patriotism".
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Jules Mounteer 9:33PM (5/22/2009)
Ugh, will we ever be rid of these overpaid high school dropouts. Even with their "concessions" it's way beyond too much. Most of them couldn't properly pour coffee at Timmy Ho's. Sweet Jesus, it's looking like they're going to own a significant portion of a company that only exists due to our tax dollars. Anyone who thinks this is good, please google British Leyland.
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