Unionised GM workers accept new contract

26 Sep 2016

Unionised workers at General Motors have accepted a new contract and Unifor, which represented the workers, said 64.7-per cent of the members who cast ballots had voted in favour of the contract.

The agreement, negotiated last week, included a 2-per cent wage hike this year and another 2 per cent increase in September, 2019.

There was also a $6,000 signing bonus plus lump sum bonuses of $2,000 in each of the next three years to most employees.

The deal also included improvements to benefits, hiring practices and a commitment by GM to invest $554-million in its Canadian operations.

According to Unifor president Jerry Dias, it was the best deal the union had obtained with one of the auto giants in the past decade.

"The gains made in this agreement are historic and more than what has been achieved in the past ten years," Dias said in a statement.

General Motors Canada president Steve Carlisle issued a statement yesterday saying the deal would position the automaker's Canadian operations at the "forefront of an industry that is experiencing dramatic transformation and change."

Under the agreement, 700 temporary jobs would also be converted to full-time.

Members of the union would receive $12,000 in bonus payments over the next four years and 2 per cent raises this year and in 2019.

Around 4,000 members of Unifor working for GM voted on the four-year contract, with 64.7 per cent of those who voted, favouring the agreement.
 
The agreement is seen as breakthrough for Unifor, as it helped to keep existing plants open and helped to slow a loss of automotive investment from Canada to Mexico.

It was also  notable that Unifor achieved its other goals, which were to win a raise for its members and changes to the 10-year wage progression for newly hired workers.