Toronto, Ontario – The Canadian Auto Workers Union (CAW) has reached a settlement with General Motors covering the closure of the company’s truck plant in Oshawa, Ontario, scheduled for July 1, 2009. Details of the settlement were outlined to CAW members at two meetings yesterday.
The settlement is a resolution to the grievance filed by the union following the closure announcement on June 2, two weeks after the automaker and the union signed a new collective agreement. Following the announcement, CAW Local 222 members blockaded GM’s Canadian headquarters in Oshawa for almost two weeks.
Included in the settlement are new product commitments for the adjacent car plant, which will partially offset the job loss from the truck plant closure. There will also be retirement incentives, a retirement grow-in and a buyout program for those who will permanently leave the company. The average age of the workforce is approximately 50 to 51 years old, with an average seniority of approximately 22 years.
The current alternating two-shift operation will cease on December 21, 2008, with the truck plant operating on one shift as of January 2009. General Motors has agreed not to demolish the facility during the life of the agreement.