Business
GM to shut an Oshawa line: Report

General Motors Oshawa Assembly Plant

Credits: ERNEST DOROSZUK/QMI AGENCY

QMI AGENCY

TORONTO - General Motors is set to close one of its plants in Oshawa, throwing 2,000 people out of work, says local reports.

According to DurhamRegion.com, GM is planning to close its consolidated line that currently builds the Chevrolet Impala sedan and Equinox compact utility vehicle, though no notification has yet been given to CAW Local 222, the Canadian Auto Workers Union chapter that represents the workers at the plant.

In the article, CAW 222 president Chris Buckley is quoted as saying he is expecting official notification May 31 or June 1, 2012. The company is required in the current contract to give the union 12 months' notice of closing a line. That contract is due to expire this summer, so if it goes ahead, the move will probably be effective in summer 2013.

Buckley is further quoted as saying that GM told him it has no other product to put in the plant.
GM has yet to return calls to confirm the news.

Impala production recently moved to the Detroit-Hamtramck plant, with the new Impala coming next year to be built alongside the Cadillac XTS at Oshawa's flex line, which employs 2,000 workers to currently build Camaro and Camaro convertible, and the Buick Regal.

Buckley told the local media site that the United Auto Workers agreed to open its contract in an effort to get more cars built in the U.S., and that he didn't consider this a bargaining ploy on the part of the company.

Negotiations on a new contract due are set to begin this summer.

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