Skip to main content
Sister Publication Links
  • Automotive News
  • Automotive News Europe
  • Automotive News Mexico
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • login
  • HOME
  • NEWS BY BRAND
    • Aston Martin
    • BMW
    • Daimler
    • Fiat Chrysler
    • Ford
    • General Motors
    • Honda
    • Hyundai
    • Mazda
    • Mitsubishi
    • Nissan
    • Subaru
    • Tata
    • Tesla
    • Toyota
    • Volkswagen
    • Volvo
    • Mini
    • Rolls Royce
    • Mercedes Benz
    • Smart
    • Alfa Romeo
    • Chrysler
    • Dodge
    • Ferrari
    • Fiat
    • Jeep
    • Lancia
    • Maserati
    • Ram
    • Lincoln
    • Buick
    • Cadillac
    • Chevrolet
    • GMC
    • Acura
    • Kia
    • Infiniti
    • Jaguar
    • Land Rover
    • Lexus
    • Audi
    • Bentley
    • Bugatti
    • Lamborghini
    • Porsche
  • News
    • Auto Shows
    • Photo Galleries
    • Automakers
    • Suppliers
    • Retail
    • Government Relations
    • Trade and Tariffs
    • Technology
    • Labour
    • Lawsuit challenges Trump's authority on steel, auto tariffs
      Automaker-supplier relationships take a hit
      Ghosn's ace for growth: Suppliers
      In-demand tech puts wary suppliers on guard, study finds
    • U.S. metal tariffs sting Magna, but USMCA brings promise of additional work
      U.S. tariffs on steel, aluminum could be gone in weeks, ambassador says
      Magna posts record Q4 revenue, but profits and margins decline
      Ontario aims to replace GM with Magna, Martinrea or other in Oshawa
    • Kia dealer Benny Leung a true Canadian-immigrant success story
      AutoCanada sues former CEO Patrick Priestner for $250M over dealership acquisitions
      Rolls-Royce names BMW exec its new sales VP for Americas
      How GM's Oshawa closure could affect sales, dealerships
    • Level 3 autonomous vehicles now allowed on Ontario roads
      Ford adds 149,652 vehicles in Canada to Takata airbag recall
      Honda wants recall notices to be part of registration renewals
      All wet: Rain could delay the arrival of self-driving future
    • U.S. metal tariffs sting Magna, but USMCA brings promise of additional work
      U.S. tariffs on steel, aluminum could be gone in weeks, ambassador says
      A look at which automakers in Canada meet USMCA's 75% content rule
      Canada seeks Pelosi's support in push to lift U.S. metal tariffs
    • Vehicle screens go super-sized at CES as tech catches up
      All in a day's work
      Ford commits US$4 billion to autonomous vehicles, forms new subsidiary
      Massive data breach at Canadian company hits several automakers, report says
    • GM Canada says it will find 2,400 jobs for Oshawa workers
      FCA to idle Ontario minivan plant for 8 days, union says
      Unifor calls for boycott of GM vehicles if automaker closes Oshawa plant
      Unifor's Jerry Dias, Magna's Don Walker named Automotive News All Stars
    • Toronto Auto Show
  • Opinion
    • Blogs
    • Chevy's 2019 Blazer: More Camaro, less Equinox
      Trump's troubling definition of victory
      The 2019 Nautilus: Lincoln's Cadillac Super Cruise fighter?
      What Cadillac dealers can expect from Steve Carlisle
  • EVENTS, WEBINARS & AWARDS
    • 2018 Auto News Canada All Stars
    • Best Dealership To Work For
    • Canada Congress
    • Webinars
    • More women in dealerships is just plain good for business
    • VIDEO: Why Ford's Hinrichs is bullish on USMCA
      Ontario aims to replace GM with Magna, Martinrea or other in Oshawa
      Dealers told standalone stores 'difficult to remain profitable'
      Ford's Joe Hinrichs: Plant closures have 'cascading effects' on industry
  • +MORE
    • NEWSLETTERS
    • SUBSCRIBE
    • CLASSIFIEDS
    • CONTACT US
    • DIGITAL EDITION
MENU
Breadcrumb
  1. Home
  2. Canada
May 29, 2017 01:00 AM

Unifor sets blanket strategy for future contract talks in parts supply chain

Union will bring a laundry list of objectives to the bargaining table

Greg Layson
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    Arne Glassbourg
    Unifor President Jerry Dias: “We have our first opportunity in a long time to really build this industry."

    Still basking in the glow of what it considers successful 2016 contract negotiations with the Detroit Three automakers, the union Unifor now has its sights set on the auto parts supply chain.

    Unifor last fall secured $1.5 billion worth of auto spending from General Motors, Ford and Fiat Chrysler Automobiles. The automakers agreed to upgrade and retool facilities and bring at least one new engine program and a new product to operations in Ontario.

    Unifor says that spending will be good for the parts industry, as parts will be needed to feed the assembly plants.

    “We have our first opportunity in a long time to really build this industry,” Unifor National President Jerry Dias told Unifor’s largest-ever gathering of more than 140 auto parts union leaders and staff May 26 in London, Ont.

    That’s where Unifor local leaders from across the auto parts sector gathered for their first joint bargaining strategy conference, where they established a common set of goals for future contract talks.

    Shared priorities

    Unifor represents about 17,000 workers in the auto parts sector at 120 bargaining units with 79 different employers. Bargaining as a united sector with a common set of priorities will strengthen union’s position at the bargaining table and enable it to improve conditions in the industry, Dias said.

    The union didn't say how many collective agreements expire this year.

    Collective issues range from the length of new agreements, the rejection of two-tier wages, temporary work, pensions and better opportunities for hiring of laid-off members, the union said.

    "This sector provides good jobs in dozens of communities. By taking a united approach to bargaining, we can build on that," said Unifor’s Independent Parts Sector President Robin Dudley.

    But Ian Lee, a professor at the Sprott School of Business who is working on a paper about Canada’s competitiveness in the auto industry has a warning for Unifor if the union plans on increasing wages.

    “If Unifor is successful over the next several years of increasing the cost of wages and benefits to the auto parts sector I think the impact will manifest itself in two dimensions. Smaller, weaker companies will go out of business. In terms of the bigger ones that are competitive, that are successful, this will accelerate their decision to move more production to the States and Mexico,” Lee said.

    Substantial differences

    Tony Faria hopes Unifor’s message is not one of “pattern bargaining,” a technique the union often uses during talks with automakers. Pattern bargaining usually sees all the automakers agree to essentially the same terms of the first ratified contract during talks.

    “I have always been opposed to the concept of pattern agreements. The three Detroit companies are not the same. GM is almost four times the size of Chrysler. GM and Ford are four times as profitable as FCA. GM and Ford have far more cash than debt while FCA has more debt than cash. You can go on-and-on about the differences in the companies.” Faria said in an email to Automotive News Canada. “What is a good or affordable contract for one company doesn’t necessarily work for another.

    “Setting some standards for different parts of parts makers’ contracts could be okay as long as there is flexibility enough to satisfy the great diversity of Canadian parts makers who are of vastly different sizes, profitability, cash position, type of parts maker, type of competitive environment, etc.”

    Automotive Parts Manufacturers’ Association President Flavio Volpe said "suppliers enjoy a strong and healthy relationship with their workforce in Canada."

    "Unifor is a part of the competitive automotive supply story," he said. "We have a common interest in a prosperous future and the sector looks forward to continue building on the things that have helped make us all successful to date."

    Recommended for You
    Digital Edition
    Thumbnail
    View latest issue
    See our archive
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up today for our Weekly Newsletter, Daily Newsletter and Breaking News Alerts. We'll deliver the news you need to know straight to your inbox.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Subscribe Today

    An Automotive News Canada subscription includes 12 monthly issues – delivered in print to your doorstep, and digitally to your inbox – plus unlimited, 24/7 access to our website.

    Subscribe
    Connect With Us
    • Facebook
    • Twitter
    • Instagram

    Our Mission

    The Automotive News Canada mission is to be the primary source of industry news, data and understanding for the industry's decision-makers interested in Canada.

    Contact Us

    PO Box 243
    Station A
    Windsor, ON
    N9A 6K7

    1-877-812-1257

    Email Us

    Resources
    • About us
    • Contact Us
    • Digital Edition Archive
    • Advertise with Us
    • Reprints
    • Ad Choices Ad Choices
    • Sitemap
    Legal
    • Terms and Conditions
    • Privacy Policy
    Copyright © 1996-2019. Crain Communications, Inc. All Rights Reserved.
    • HOME
    • NEWS BY BRAND
      • Aston Martin
      • BMW
        • Mini
        • Rolls Royce
      • Daimler
        • Mercedes Benz
        • Smart
      • Fiat Chrysler
        • Alfa Romeo
        • Chrysler
        • Dodge
        • Ferrari
        • Fiat
        • Jeep
        • Lancia
        • Maserati
        • Ram
      • Ford
        • Lincoln
      • General Motors
        • Buick
        • Cadillac
        • Chevrolet
        • GMC
      • Honda
        • Acura
      • Hyundai
        • Kia
      • Mazda
      • Mitsubishi
      • Nissan
        • Infiniti
      • Subaru
      • Tata
        • Jaguar
        • Land Rover
      • Tesla
      • Toyota
        • Lexus
      • Volkswagen
        • Audi
        • Bentley
        • Bugatti
        • Lamborghini
        • Porsche
      • Volvo
    • News
      • Auto Shows
        • Toronto Auto Show
      • Photo Galleries
      • Automakers
      • Suppliers
      • Retail
      • Government Relations
      • Trade and Tariffs
      • Technology
      • Labour
    • Opinion
      • Blogs
    • EVENTS, WEBINARS & AWARDS
      • 2018 Auto News Canada All Stars
      • Best Dealership To Work For
      • Canada Congress
      • Webinars
    • +MORE
      • NEWSLETTERS
      • SUBSCRIBE
      • CLASSIFIEDS
      • CONTACT US
      • DIGITAL EDITION