October 16, 2002

CAW settles with DaimlerChrysler at last minute

Toronto, Ontario – Canadian Auto Workers union president “Buzz” Hargrove announced Tuesday night that the union had negotiated a settlement with DaimlerChrysler – the announcement was made just half an hour before the strike deadline of 11:59 pm, October 15th.

The settlement includes a commitment by DaimlerChrysler to build a new vehicle in the Windsor, Ontario DaimlerChrysler plant. The vehicle to be built there was not announced.

DaimlerChrysler Canada Chairman, President and CEO Ed Brust said that the
agreement will create significant new employment in the Windsor area some time
toward the end of 2005. Ken Lewenza, chairman of CAW’s bargaining committee said the new plant would create up to 3000 new jobs by the end of 2005.

DaimlerChrysler also said an additional 660 jobs will be created next year in
conjunction with the launch of the all-new 2003 Chrysler Pacifica and model
changes to current minivans at the Windsor (Ontario) Assembly Plant. The
Windsor area investment will minimize the effect on employees due to the
phasing out of production at the Pillette (Ontario) Assembly Plant at the end
of 2003.

The tentative agreement, which now must be ratified by the C.A.W.
membership, represents the culmination of a major investment effort, added
DaimlerChrysler Canada Vice President of Human Resources Phil Bezaire. “Over
the three years of this contract, we will invest $2.6 billion (Cdn) in our
Canadian operations, excluding the new Windsor investment,” he said. “The
investment underscores our company’s commitment to Canada and the communities
in which our facilities are located.”

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