Representatives from the Canadian Auto Workers (CAW), Peter Kennedy, CAW national secretary treasurer, (back L), Ken Lewenza, national president of CAW, (back C) and Chris Buckley, chair of CAW/GM Master Bargaining Committee, begin contract negotiations with representatives from General Motors, David Wenner, General Director of Labour Relations of GM Canada, (front L) and Rex Blackwell, Executive Director of Labour Relations of GM Canada, in Toronto
Credits: REUTERS/BRETT GUNDLOCK
The Canadian Auto Workers union reached a tentative deal with General Motors Thursday night, but is still negotiating with Chrysler.
That makes Chrysler only last auto-maker that has yet to reach a compromise with the the union, which struck a tentative deal with Ford earlier this week.
After nearly 30 hours of negotiations, GM agreed to a deal similar to that struck with Ford.
"Tomorrow, we work with Chrysler," said CAW president Ken Lewenza said, warning the union, which represents 20,000 workers, is ready to serve a strike notice if necessary.
Under the deal reached Thursday, GM will keep its consolidated plant in Oshawa, ON open through 2014, saving some 750 jobs for a couple of years. GM also promised to create or maintain 1,750 Canadian jobs and invest $675 million in capital spending in Canada.
As well, GM will add a third shift at it's flex plant in Oshawa, creating 900 jobs.
While there are no wage increases, workers will get a $3,000 ratification bonus upon agreeing to the deal, as well as $2,000 a year in the second, third and fourth years for cost-of-living increases.