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

More by Derek Kreindler

Comments
Join the conversation
2 of 51 comments
  • 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.

  • CanadaCraig You can just imagine how quickly the tires are going to wear out on a 5,800 lbs AWD 2024 Dodge Charger.
  • Luke42 I tried FSD for a month in December 2022 on my Model Y and wasn’t impressed.The building-blocks were amazing but sum of the all of those amazing parts was about as useful as Honda Sensing in terms of reducing the driver’s workload.I have a list of fixes I need to see in Autopilot before I blow another $200 renting FSD. But I will try it for free for a month.I would love it if FSD v12 lived up to the hype and my mind were changed. But I have no reason to believe I might be wrong at this point, based on the reviews I’ve read so far. [shrug]. I’m sure I’ll have more to say about it once I get to test it.
  • FormerFF We bought three new and one used car last year, so we won't be visiting any showrooms this year unless a meteor hits one of them. Sorry to hear that Mini has terminated the manual transmission, a Mini could be a fun car to drive with a stick.It appears that 2025 is going to see a significant decrease in the number of models that can be had with a stick. The used car we bought is a Mk 7 GTI with a six speed manual, and my younger daughter and I are enjoying it quite a lot. We'll be hanging on to it for many years.
  • Oberkanone Where is the value here? Magna is assembling the vehicles. The IP is not novel. Just buy the IP at bankruptcy stage for next to nothing.
  • Jalop1991 what, no Turbo trim?
Next