The labor union representing over 5,000 employees at Ford Motor Company of Canada has approved a new three-year collective bargaining agreement. The agreement entails a three percent annual wage hike, continuation of a cost-of-living allowance (COLA), and $1.2 billion earmarked for investments in Canadian manufacturing. Unifor Ford members under the master agreement voted 74 percent in favor, with salaried bargaining unit members at Locals 240 and 1324 voting 97 percent and 100 percent, respectively.
Unifor National President Lana Payne expressed satisfaction with the ratified agreement, citing the real gains and stability it brings amidst challenges faced by Canadian autoworkers and the industry as a whole. The negotiation process aimed to build upon previous successes and implement various improvements for all members.
Amidst ongoing challenges such as U.S. tariffs, trade policy uncertainties, and slower electric vehicle adoption in North America, the agreement signifies a positive outlook for Canadian autoworkers. Unifor Local 200 President John D’Agnolo emphasized Ford’s recognition of Canada’s importance, highlighting the strong sales of Ford vehicles in the country as a driving force behind the investment commitment.
Ford’s additional $700 million investment in engine production at the Essex Engine Plant and support for engine expansion in Essex, along with the $550 million investment in the Oakville Assembly Complex, solidify the company’s dedication to Canada. Ford officials underscored the agreement’s focus on people and the country’s future, with CEO Jim Farley emphasizing the company’s longstanding manufacturing leadership in Canada.
Furthermore, Ford has pledged a moratorium on facility closures during the agreement’s duration and offered bonuses and incentives to employees, including increased benefits and retirement incentives for eligible members. The agreement reflects Ford and Unifor’s mutual commitment to fostering a positive working environment and ensuring long-term success in the Canadian automotive industry.