Canadian labor union Unifor launched a strike against General Motors (GM), after a tentative deal fell through on Monday, adding to union pressure on the Big Three automaker.
The Canadian union’s demands include better pensions, support for retirees, and a clearer path of progression for workers. Approximately 4,300 workers are participating in the strike, which is expected to impact an assembly plant and a stamping facility in Canada’s province of Ontario. Production of some V-6 and V-8 engines that are used in vehicles like the Chevrolet Equinox and manufacturing of light- and heavy-duty Chevrolet Silverado trucks reportedly could be affected.
The strike by Unifor comes as United Auto Workers (UAW) members continue to strike against the company in the U.S. About 9,200 workers in the U.S. are already protesting at two plants and 18 parts and distribution centers of the Detroit-based automaker. Since Sept. 15, auto workers have held targeted strikes against Ford (F) and Chrysler parent Stellantis (STLA) as well.
Last month, Ford reached a tentative deal with Unifor that covered 5,600 workers, which was ratified by 54% of those who voted. Unifor is using that deal as a template for negotiations with GM and Stellantis, saying “Unifor will not agree to pay retired members at GM less than retirees at Ford of Canada.”
Shares of GM were up 1.7% lower by midday on Tuesday following the news, while shares of Ford were up 1.6% and Stellantis shares were more than 3% higher.
Source : Investopedia
