After weeks of negotiations, Ford and Canadian union Unifor reached a tentative agreement on a new labor contract last week. However, to this point, little information has been provided as to what the new deal consists of, other than the fact that the Ford Oakville Assembly Plant will be building a total of five new electric vehicles, beginning in 2025, thanks to a $1.8 million investment from FoMoCo.
Ford is committing to transform its Oakville Assembly Complex from an internal combustion engine (ICE) site to also become a BEV manufacturing facility, starting in 2024, as well as introducing a new engine program at the Ford Windsor Engine Plant. The agreement makes Ford the first automotive manufacturer in Canada to build fully battery electric vehicles.
Today, Ford has released some addition details regarding the new Unifor deal, and it’s all good news for Ford Oakville and Windsor plant employees. The three-year collective agreement, which was ratified by those employees today, enables several operational improvements to increase the efficiency of Ford’s Canadian facilities, including competitive alternative work schedules to maximize production flexibility and an enhanced temporary employee program.
Additionally, Ford of Canada’s hourly employees will receive a number of benefits, including a 2.5 percent wage increase twice over the life of the agreement, a C$7,250 ($5,420 U.S.) ratification bonus for full-time permanent employees and $500 ($373) for temporary employees, and reduced grow-in period for new hires from 11 years to eight years.
“Working collaboratively with Unifor, and as discussions continue with both the federal and provincial governments, this agreement is an important step toward building a stronger future for our employees, our customers and our communities,” said Dean Stoneley, president and CEO, Ford of Canada. “By introducing battery electric vehicle production at Oakville Assembly Complex, we are cementing our Canadian operations as a leader in advanced automotive manufacturing.”