The labor union representing over 5,000 employees at Ford Motor Company of Canada has approved a new three-year collective contract. The agreement entails annual wage hikes of three percent, the continuation of a cost-of-living allowance (COLA), and a planned $1.2 billion investment in Canadian manufacturing. Unifor Ford members under the master agreement voted 74 percent in favor, with salaried bargaining unit members at Locals 240 and 1324 voting 97 percent and 100 percent, respectively.
Unifor National President Lana Payne expressed satisfaction with the ratified agreement, noting the substantial benefits and stability it brings amid challenging times for Canadian autoworkers and the industry as a whole. The negotiation process aimed at enhancing member benefits based on previous achievements.
The contract’s approval coincides with the automotive industry’s struggle with U.S. tariffs, trade policy uncertainties, and slower electric vehicle adoption in North America. Unifor Local 200 President John D’Agnolo highlighted the union’s success in securing member gains despite external pressures, emphasizing Ford’s recognition of Canada’s significance as a market.
As part of the deal, Ford pledges an extra $700 million to optimize production at the Essex Engine Plant and further develop the 7.3-litre engine. Additionally, a previously allocated $550 million investment in the Oakville Assembly Complex will proceed. Ford officials emphasized the company’s enduring commitment to Canada through the agreement, stressing investments in people and the nation’s future.
Ford will refrain from selling or closing any Unifor-represented facility during the contract’s term and will provide various bonuses and enhanced benefits for employees. The company has also introduced retirement incentives for eligible members at its Windsor Operations and Parts Distribution Centres.
