It looks like the prospect of getting a partial payback for its investment could have hastened the deal reached between General Motors Canada and its autoworkers’ union.

The automaker could have up to 40 percent of the money invested in its Canadian operations handed back by the Ontario and Canadian governments, according to a report in the Globe and Mail.

If the full amount is realized, it means a government cash injection of $56,410 per autoworker.
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Unionized General Motors workers in Canada ratified a new collective agreement yesterday, with the automaker agreeing to invest $421 million ($554 million CAD) into its northern operations.

The deal, which sees full-size pickup final assembly come to Oshawa, was sealed after 64.7 percent of the Unifor members voted to approve it. With this nail-biter of a negotiation done (the last-minute deal averted a looming strike), contract negotiations begin with Fiat Chrysler Automobiles. (Read More…)

General Motors of Canada workers are heading to the ballot boxes Sunday to vote on a plan that will bring final production of 70,000 trucks a year to Oshawa and new engine production to St. Catharines.

Vote tallies are expected Sunday evening.

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After contract negotiations went right down to the midnight deadline, GM Canada and autoworkers union Unifor reached a tentative deal last night, averting a looming strike at Canadian GM plants.

Bargaining teams from the automaker and Unifor, which represents Detroit Three workers in Canada, reached what union boss Jerry Dias called “a framework for a tentative agreement.” Not only does the deal avert a shutdown at three Ontario GM facilities, it saves the threatened century-old Oshawa assembly plant.

No jobs will be lost, and a new (but unnamed) product will go into production in Oshawa. (Read More…)

GM Canada and the union representing Detroit Three autoworkers north of the border have entered their final day of contract talks ahead of a midnight strike deadline.

Unless both sides achieve a breakthrough today, there’s little reason to believe a walkout at the company’s Oshawa, Woodstock and St. Catharines, Ontario facilities won’t occur as the clock strikes twelve.  (Read More…)

With GM Canada and Detroit Three autoworkers union Unifor making little headway in contract negotiations, the possibility of government subsidies has raised its head.

At week’s end, the two sides were reportedly far apart as the clock ticks down to possible strike action at midnight on September 19. With General Motors as its strike target, Unifor lists new investment and product at the endangered Oshawa assembly plant as its number one demand.

According to the Detroit Free Press, the Canadian workers’ union boss is encouraged by talk of indirect federal government intervention. (Read More…)

The union representing Detroit Three autoworkers in Canada has chosen General Motors as its target company as contract negotiations get serious.

Agreements reached between Unifor and GM will set the pattern for negotiations with Ford and Fiat Chrysler. However, the potential closure of GM’s Oshawa assembly plant means a strike is almost inevitable if the automaker doesn’t reverse course and offer up a big investment. (Read More…)

General Motors’ Oshawa, Ontario assembly plant is bleeding vehicles and in danger of closing, but the city and its workers aren’t going down without a fight.

GM employees, their union, and local government representatives want a new mandate to produce vehicles beyond 2017, invoking images of Flint, Michigan in their battle with the automaker. The recent announcement of 700 new provincewide engineering jobs doesn’t cut it, they say.

To them, GM’s silence reeks of an exit strategy.
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“An old man turned ninety-eight,
He won the lottery and died the next day” – Alanis Morissette

General Motors’ Buick Verano didn’t make it to 98, but after turning the grand-old age of 5, the entry-level Buick sedan will join a congregation of defunct Buicks in Detroit’s vehicular graveyard. It would seem easy enough for the second-generation Verano to make its way over from China, where Buick is GM’s darling brand. In the interests of products that GM believes will produce higher U.S. volumes with superior margins, namely E-badged crossovers, the Verano’s North American days are over.

It’s not too difficult to understand why. In the United States, Buick reported 45,527 Verano sales in the model’s second full year, 2013. Just two years later, Verano volume in 2015 was down 30 percent from that peak. Buick is on track in 2016 to sell fewer than 27,000 Veranos in America. Sales of Buick’s more popular entry-level model, the Encore subcompact crossover, are up 21 percent this year. Already in 2016, through only five months, Buick has sold 30,330 Encores in the United States.

Yet north of the border, the Verano’s demise is indeed ironic. Just days before Automotive News revealed that GM would end the Verano’s North American run with an abbreviated 2017 model year, GM Canada revealed that Verano sales had risen to an all-time high in April. (Read More…)

Jerry Dias, president of Unifor, the union that represents workers at Detroit Three operations in Canada, has stated in no uncertain terms there will be a strike if Oshawa is not given a mandate to produce vehicles beyond 2017, reports the Financial Post.

The latest barb comes before a scheduled press conference this Friday when General Motors Canada is expected to announce 1,000 engineering jobs for the company’s connected and driverless vehicle research and development.

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Yesterday, General Motors issued a release stating it will announce big news in Oshawa on Friday. According to The Star, that announcement will include 1,000 new jobs at GM’s engineering center, which now focuses on driverless and connected vehicles.

However, the announcement comes as uncertainty swirls around GM’s Oshawa Car Assembly Plant, a facility that many analysts believe is slated for closure.

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First announced December 19, 2012, GM Canada’s Oshawa Assembly facility will officially cease production of the Camaro on November 20, 2015 in conjunction with the car’s next generation, GM announced today. Camaro production remained at the Oshawa plant a year longer than initially promised in 2012.

Assembly shifts will be reduced from four to three between the “Flex” and “Consolidated” lines. Currently, the “Flex” line is on three shifts while the smaller line is on one shift. GM Canada will “begin a voluntary retirement canvass” to reduce worker head count before implementing any layoffs. GM Canada President, Stephen K. Carlisle, stated “60 percent of our hourly workforce are nearing retirement” age and the company will offer incentives to eligible employees looking to retire early.

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Following a new connected-vehicle and green tech mandate, GM Canada’s Canadian Engineering Centre in Oshawa, Ontario is hiring 100 engineers to support the mandate.

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Automotive News reports General Motors’ recall parade could, according to Barclays Capital analyst Brian Johnson, last well into the middle of the summer season. The data mining conducted by the automaker’s team of 60 safety investigators on 10 sources reporting potential problems — including consumer complaints and reports from its dealership network — will likely bring more recall requests before GM’s senior executives. Johnson adds that the investigators are working on likely defects on a per-issue basis instead of per-vehicle, which may mean a number of vehicles will be called back multiple times as the recall parade marches on; he also notes that its hard to discern if recalls of past vehicles have already peaked.

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Bloomberg and Sky News have reported that the Canadian government has started a selection process to find investment banks for selling off of the stake the government took in General Motors as part of its own contribution to bailing out the automaker. Late last year, Finance Minister Jim Flaherty said that Canada had no intention of holding those shares long-term. Together the federal Canadian and provincial Ontario governments own 140 million shares of common GM stock, valued at $5.1 billion (US), a 10% stake in the automaker, which makes Canada the company’s third biggest shareholder behind the U.S. Treasury and the UAW’s VEBA health plan. The governments had originally invested $9.5 billion in GM back in 2009, selling off 35 million of its shares when GM made its initial public offering of stock in the reorganized company.

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