CAW Mulling Strikes At All Three Automakers

Derek Kreindler
by Derek Kreindler

A report by Reuters suggests that the Canadian Auto Worker’s union may take the unprecedented step of striking at the plants of all three domestic automakers.

Traditionally, the union targets one company for bargaining and a possible strike, and that sets the precedent for contracts with the other two. This round of negotiations has been particularly tense; labor costs in Canada are considered to be the highest in the world, and auto makers are looking to bring them down to the level offered in the United States.

Reuters sums up the matter, stating

The Canadian Auto Workers (CAW) said strike committees will be formed by local unions at Ford of Canada, General Motors of Canada and Chrysler Canada this week, ahead of the union’s strike deadline of 11:59 p.m. eastern (0359 GMT) on September 17.

“It is our hope and intention to reach an agreement with at least one of the three companies before the deadline,” the union said in a leaflet distributed to members. “We must be prepared, though, to shut down operations at all three, should we be unable to reach an agreement.”

The unions are demanding that no more concessions be made on their end, in light of their sacrifices made during the bailout period contract negotiations. Compromises, such as profit sharing, have been floated by the auto makers, but only recently has the CAW changed their hardline stance against it.

TTAC readers with experience working in auto plants have suggested that a strike won’t happen, and that negotiations will eventually lead to an equitable settlement. It’s likely that talk of a strike at all three automakers is simply rhetoric in the run-up to more intense negotiations.

Reuters quotes Gary Beck, chairman of the CAW’s Ford master bargaining committee as stating

“We have been sitting down with all three companies, and no one has taken the initiative to lead,” he said. “This will, hopefully, wake them up.”

In our eyes, that’s a fairly strong piece of evidence to support the above theory.

Derek Kreindler
Derek Kreindler

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  • Oldyak Oldyak on Sep 07, 2012

    I`m sorry but if the American middle class example is a Union member we,the middle class, have lost all hope. Never in my life have I seen such shamfull disregard for quality, productivity and loyalty to an employer as I have seen with the U.A.W. At labor rates twice what they were worth yes,they made the middle class look good..on paper. But have no fear.If the CAW strikes they WILL strike out. No support for poor performance anymore. If you can get it built for a lower price in Mexico and still pay the employees a good wage with good benefits..your moving there!

  • AJ AJ on Sep 07, 2012

    I took a tour of a UAW factory several years ago. I was only impressed with the robots.

  • MaintenanceCosts People who don't use the parking brake when they walk away from the car deserve to have the car roll into a river.
  • 3-On-The-Tree I’m sure they are good vehicles but you can’t base that on who is buying them. Land Rovers, Bentley’ are bought by Robin Leaches’s “The Rich and Famous” but they have terrible reliability.
  • SCE to AUX The fix sounds like a bandaid. Kia's not going to address the defective shaft assemblies because it's hard and expensive - not cool.
  • Analoggrotto I am sick and tired of every little Hyundai Kia Genesis flaw being blown out of proportion. Why doesn't TTAC talk about the Tundra iForce Max problems, Toyota V35A engine problems or the Lexus 500H Hybrid problems? Here's why: education. Most of America is illiterate, as are the people who bash Hyundai Kia Genesis. Surveys conducted by credible sources have observed a high concentration of Hyundai Kia Genesis models at elite ivy league universities, you know those places where students earn degrees which earn more than $100K per year? Get with the program TTAC.
  • Analoggrotto NoooooooO!
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