'Minor progress' in 'painfully slow' negotiations with Ford: Unifor

Midnight Monday strike deadline

MONTREAL/DETROIT (Reuters) — Canada's main auto workers' union said on Monday that progress was "painfully slow" in contract talks with Ford ahead of a midnight strike deadline, with salaries for recent hires and health benefits among the sticking points.

Unifor spokeswoman Denise Hammond said the automaker had proposed a new class of temporary full-time workers with a lower starting wage and concessions on a healthcare plan, while the union pushed for an agreement that followed the pattern established in earlier talks with General Motors.

"Ford appears to have stalled negotiations," she said at a media briefing. "Movement in our discussion has been painfully slow, and we have been waiting on the employer to provide real and fair proposals.

Ford spokeswoman Kerri Stoakley said by email on Monday the automaker would work "collaboratively with Unifor."

More than 6,000 Ford workers represented by Unifor could walk off the job on Tuesday if talks fail, though a strike at midnight is seen as unlikely. Labor analyst Arthur Schwartz described the automaker as "strike-averse" and Ford said its last Canadian strike was in 1990.

But there are signs union leaders may face challenges ratifying a deal similar to those reached with General Motors and Fiat Chrysler .

Unifor practices so-called pattern bargaining, selecting one automaker to negotiate with and then holding the others to the terms of that deal. The union has already reached deals with GM and Fiat Chrysler featuring new investments.

With Ford, Unifor must secure a deal that can win support from some of its 5,000 workers at an Oakville, Ont., assembly plant. Some workers have argued that the GM and Fiat Chrysler deals will make new hires wait too long to reach the top of the pay grid. Some 2,200 Oakville workers are recent hires. If they vote down a deal, that would trigger a strike.

But Ford has said even the labor costs attached to the 10-year salary grid approved by GM and Fiat Chrysler are too high, Unifor National President Jerry Dias said on Monday.

"We're not going to change this (10-year) grid," Dias said.

Unifor is also seeking investment for engine plants in Windsor, Ont., which have about 1,700 workers.

Analysts said a short-term strike would have limited impact on Ford. The Oakville plant is Ford's global supplier of the strong-selling Ford Edge crossover, but data from Automotive News shows the vehicle has a 78-day supply.

 

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