Despite the fact that the CAW said it made progress with GM and Chrysler, no deal has been reached yet.
“It’s probably going to be at least another day,” CAW Secretary-Treasurer Peter Kennedy said.
The dead-line for a new contract deal was extended yesterday and today the union focused mainly on GM and the future possible investments the automaker can make. The union tried to get from GM assurances that the automaker will make new product investments, besides those promised to the Canadian and Ontario governments, which offered the company $9.5 billion in support during the financial crisis. For this support GM committed to production guarantees and several investments until 2016.
“There’s a number of issues where we have a disconnect. Obviously, our No. 1 demand at this point continues to be additional investments,” said Chris Buckley, president of CAW Local 222.
Ford managed to reach a deal with the union, promising to invest in its Oakville Assembly Plant near Toronto, a move which Ford had previously planned. But this puts GM and Chrysler into a difficult position as the CAW expects similar investments as that promised by Ford, and neither of the two companies has planned similar investments in Canada.