October 21, 2002

CAW union members vote in favour of DaimlerChrysler contract

Toronto, Ontario – Members of the Canadian Auto Workers union at
DaimlerChrysler locations in Windsor, Brampton and Etobicoke voted in favour
of a new 3-year agreement on the weekend.

The agreement tracks the GM and Ford settlements and provides annual increases of 3 percent, 3 percent and 2 percent. Overall votes were 91% percent for production, 80.5% for skilled trades and 92.8% for the technical, office and professional workers.

In addition to the pattern economic settlement which increases significantly time off the job, healthcare benefits and income security, the union was successful in bargaining a commitment from DaimlerChrysler for a new world class greenfield site in Windsor which is expected to go into production in the last quarter of 2005. Estimates of the jobs to be created by the new investment are between 2000 and 3000.

New investment was a key issue for the union as the Windsor Pillette Road maxivan plant had not been assigned a new product after mid-2003. For the workers at the closing maxivan plant, approximately 660 jobs will be phased into the Windsor minivan assembly plant and along with the vacancies created by early retirements, there should be enough jobs such that no layoffs are expected.

Brampton workers laid off after the 3rd shift was cancelled over a year ago, most of whom have less than 4 years seniority, will have an enhanced monetary severance option.

The CAW represents approximately 12,500 workers at DaimlerChrysler Canada.

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