(Adds background on deal, Ford negotiations)
By Allison Martell
TORONTO Oct 16 Canadian manufacturing workers
at Fiat Chrysler Automobiles voted on Sunday
to approve a tentative labor agreement with the automaker, their
union said, averting a strike and clearing the way for talks
with Ford Motor Co.
The Unifor union said 70.1 percent voted to ratify the
four-year deal, which covers 9,750 manufacturing workers. A
rejection would have triggered a strike at Fiat Chrysler,
shutting down assembly plants in Windsor and Brampton, Ontario.
In a brochure distributed to members, the union said Fiat
Chrysler had committed to building a new vehicle at the Brampton
assembly plant if the automaker secures adequate government
assistance and market conditions warrant the investment.
"In the event a positive business case is confirmed, it is
possible an alternative product, which could include an existing
platform or entirely new vehicle architecture, could occur
during the term of this Collective Agreement," the union said.
The union previously said Fiat Chrysler agreed to invest
C$325 million ($245 million) in Brampton to rebuild a paint
With contracts ratified at both General Motors Co and
Fiat Chrysler, Unifor will turn its attention to negotiating a
tentative contract with Ford, where the union faces dissent from
its own members.
Unifor uses a pattern bargaining strategy to negotiate with
the automakers, selecting one company to negotiate with first
and then holding the other two to the broad terms of that deal.
Some Ford workers have already criticized the template, and it
is not clear how union leaders can address their concerns
without deviating from the pattern.
The GM and Fiat Chrysler contracts maintained a 10-year
earn-in period during which new workers are paid less than more
experienced employees, which is unpopular with some Ford
The president of Local 707, which represents workers at
Ford's Oakville, Ontario, assembly plant, said in early October
his members would likely reject any deal with a 10-year earn-in.
About 2,200 of Oakville's 5,000 unionized workers were hired
under the earn-in.
In talks with Ford, the union has said it will push for
investment in engine plants in the Windsor area that employ
about 1,700 workers. But if it secures investment in Windsor
without winning over Oakville's new hires, those workers have
the numbers to reject a deal on their own, triggering a strike.
(Reporting by Allison Martell; Editing by Peter Cooney)