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GM strike in U.S. to impact operations in Canada
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CTV.ca News Staff
Date: Mon. Sep. 24 2007 11:04 PM ET
A nationwide strike in the U.S. by General Motors employees could leave as many as 100,000 Canadian workers without jobs, Canadian Auto Workers president Buzz Hargrove said Monday.
About 73,000 members of United Auto Workers (UAW) went on strike at GM plants across the United States Monday. The members are employed by GM at 82 U.S. facilities -- which include assembly and parts plants and warehouses.
Because of the strike action, Hargrove said jobs in Canada will see an immediate impact.
Hargrove confirmed the following:
- Oshawa, Ont. car plant no. 1, which builds the Chevrolet Impala and the Monte Carlo, will close down at 3 a.m. Tuesday
- Oshawa, Ont. plant no 2, which builds the Pontiac Grand Prix and Buick Allure, will close at the end of the day shift Tuesday
- The Oshawa, Ont. truck plant, which produces the Silverado and the Sierra, has enough parts for three more days of production
- GM's engine plant in St. Catharines, Ont. will close within 72 hours
- GM's Windsor, Ont. transmission plant has already been closed down
"In addition to that there will be literally thousands and thousands of auto parts workers in the independent auto parts sector that will be laid off if the dispute continues, some of them will already be laid off as of today," Hargrove told reporters.
Hargrove said that there are about 80,000 workers in Canada employed in the automotive parts sector and GM buys about 50 per cent of all parts creates in Canada.
He said that means roughly 40,000 auto parts workers could be laid off within the next few days.
In total, adding in suppliers and service workers at various plants, Hargrove said "anywhere between 80,000 and 100,000 people" could soon be unemployed in Ontario and Quebec.
U.S. negotiations
UAW President Ron Gettelfinger said Monday that job security was the major unresolved issue prompting the action.
It is the first nationwide strike against the U.S. auto industry since 1976. Gettelfinger said GM failed to meet the union halfway in contract negotiations.
"We were pushed into a strike and that's where we're at," he told reporters.
Gettelfinger said negotiations would resume Monday and that the UAW was willing to discuss a key GM demand that a UAW-managed trust fund be established to cover health care for retirees.
If accepted, the trust would alleviate GM of US$51 billion in unfunded health costs. GM is currently responsible for nearly 339,000 retirees and surviving spouses.
Still, Gettelfinger said the strike was not related to the trust fund but rather to job security.
In a statement Monday, GM spokesman Dan Flores said the company was disappointed about the strike situation.
"The bargaining involves complex, difficult issues that affect the job security of our U.S. work force and the long-term viability of the company," said Flores. "We are fully committed to working with the UAW to develop solutions together to address the competitive challenges facing General Motors.
"We will continue focusing our efforts on reaching an agreement as soon as possible."
With files from The Associated Press
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I applaud the budget, even though Health Care and education may stay unscathed. Sadly this cannot last and I worry to later this year where cuts will become enviable. If anything, this provides the Wildrose Alliance plenty of ammo when an election is called.


Comments are now closed for this story
Jeremy
said
Bob Beausoleil
said
Robert Brisebois
said
Enrique
said
Gordie
said
The problem with GM is much of their product is inferior to that of the import manufacturers. Not only do import manufacturers make nicer looking vehicles, but they are far more reliable than GM, Ford or Chrysler/Dodge.
Furthermore, when much of the revenue brought into GM through their sales is being sucked up by benefits for their family members and their pets (even well into retirement), you have this situation where at some point, the bubble will burst.
A $30,000 import vehicle has much more appeal to the average consumer than a $30,000 vehicle from GM, Ford or Chrysler/Dodge. Why? Reliability, design and fuel efficiency in an import is far superior to that of a domestic.
Have you ever wondered why domestic manufacturers often have "employee pricing" promotions? Certainly not because the corporate heads are in a giving mood that's for sure!
If domestics had the same quality and appeal to the consumer as that of the import models, the idea of a strike probably wouldn't even occur!
Mike
said
When will unions learn? Usually when the company goes under and the union members are out of work.
Ed
said
Robert
said
Frank
said
Kat
said
sk
said
Bell
said
Josh
said
Glen
said
johnn
said
If so, why would they be worried?
Hyundai-Man
said
John P
said
This strike will hit Ontario hard. For all those considering voting for McGuinty, do you trust McGuinty to guide Ontario through tough economic times?
Buddy Stark
said
Very high labour costs are a major factor for why GM has been putting out an inferior product for years. I have had nothing but problems with GM. I refuse to buy domestic from any of the "Big Three" until they get their act together. That may not sound very patriotic, but neither is paying for a substandard product with my hard earned money.
Robert
said
Jill
said
Jan
said
Bob Smith
said
God forbid there are unions out there looking out for workers interests and allowing them and their families to have middle-class existences.
sd
said
Andy
said
Is it good that the price of a car, does not reflect to the price of what it costs to make, in these under developed nations?
The union gave up wage cuts (meanwhile the CEO's increased there wages by millions. The union is bailing GM out of paying $51 million in owed health care, and your saying good for GM?
I say shame on them, and shame on anyone who takes pleasure in watching people suffer! Families being scared not knowing where there going to get money to pay there mortgage, and feed there chidren!
Shame on all of you CEO's and union haters. The unions have evolved to appease corporations. What have the corporations and government's done to save jobs in North America? Why is it that we cant sell cars in Japan, and Korea but they can sell cars here freely? The union is asking for SOME job security, is that so wrong? For GM to go on strike to not guarentee that they will keep any jobs in North America means the UAW is only giving them Hundreds of millions of dollars in concessions only to have them leave? That is insulting and disgusting.
All you norrow minded people leaving these negative comments on here about the union is without merit Look at the facts and trends and you tell me whose greedy?
Ronald
said
Adam
said
However, when a high school drop out sweeping a floor making $50k/yr with full benefits and a generous pension goes on strike because he wants more... It is rather sickening.
Job security in manufacturing no longer exists. Period. To derail the company because they won't promise something they can't give is ludicrous.
On a smaller scale, I have seen plants close individually over crap like this... I wonder if the layoffs will start now, or in a weeks time?
Back a firm that doesn't have the money into a corner, and watch what happens.
There are many ways to solve over production.
SUBARU Chick
said
Nancy
said
Anne
said
It is easy for people to say that workers should take a cut in pay but I think they should think a little harder about how they would feel if they were asked to take a cut in pay.
People like Jeremy need to get their heads out of the sand.
Scott
said
As far as UAW is concerned, they are digging their own grave here, and are the main reason costs of American vehicles are not competitive.
Mike R
said
David H.
said
I've seen unions sink companies and shoot themselves AND most of them are now working for LESS than if they did not complain.
Roberto E.
said
Dan
said
Jim McB
said
Maybe Buzz will now have to become a Conservative, give PM Harper a leather jacket and denounce his last two political parties. It is a tough act, but another bail out would be quite a prize.
HONDA Guy!
said
Alain
said
Albert
said
The biggest mistake of my life is not coming to Canada as I still believe this country is the best for raising my kids, but I curse myself everyday for choosing this trade.
OLEH
said
Kevin
said
Kevin
said
Errol
said
v.m. smith
said