Tentative General Motors deal encouraging for local companies

The president of the Automotive Parts Manufacturer’s Association (APMA) says he is more hopeful about auto negotiations on the Canadian side of the border following news a tentative deal has been reached for General Motors workers.

Unlike the United Auto Workers (UAW) strike on the American side of the border, which is entering its fourth week, a walkout by General Motors workers lasted 13 hours.

“We were fighting on a principle that GM must meet the pattern of the one we reach with Ford Motor Company. This is really good new right now,” said Emile Nabbout, president of Unifor Local 195.

Unifor national president Lana Payne says the tentative agreement with GM follows the Ford pattern to the letter. It includes items the company initially fought against like pensions, retiree income supports and converting full-time temp workers into permanent status.

“Our union have told all the GM workers to return back to work and waiting for the package to completed and to be ratified by the members,” said Emile Nabbout, president of Unifor Local 195.

The agreement delivers a base hourly wage increase of close to 20 per cent for production workers and 25 per cent for skilled trade workers.

Full-time temporary workers with a year of seniority will become permanent. Full-timers will get a $10,000 productivity and quality bonus. That number is $4,000 for part timers.

Also included, new quarterly Universal Health Care allowance for retirees and two additional paid holidays.

“The unprecedented piece here is the fact that the Canadian negotiations are happening at the same time as the Americans and the further we go down it the more blurry it is for observers both at the table and away from the table,” Volpe said.

Nabbout says 21 of the 44 companies they represent have ties to the U.S. auto market.

One industry feeling the immediate pinch of the General Motors strike and the impasse on the American side is trucking. CTV contacted two companies who say they have shutdown runs and are now looking for new work for their drivers.

“It dominos from car plants to suppliers to trucking companies to the service companies to the restaurants that are just outside your door and mine,” Volpe said.

One less obstacle if General Motors ratifies.

“If we ratify the GM agreement we'll be setting the date where negotiations will start with Stellantis,” said Nabbout.