Nine days ago, General Motors Corp. announced its intention to close four North American truck plants, one iof them in Oshawa, Ontario.
This rasied a red flag among the Oshawa workers, as they had just agreed to contract concessions, with the stipulation that GM maintain the Oshawa truck production. The contract waqs ratified on that basis. Just two weeks later GM in essence reneged on the deal. The workers set up a blockade of GM Canada's office building, and have frustrated office workers there, including the divison's executives, for nine days running now. I have not seen this degree of strife in many years in major Candian labor unions.
Its not like GM is closing all its truck plants, it will still operate two - one in Pontiac and one in Flint, MI. So, I can see the union's grievance. They made a wage deal contingent on certain considerations and now unilterally, GM Corporation sidestepped those commitments, while it has other plants it could close instead.
To rub even more salt in the wound, just last week, JD Powers rated GM's Oshawa truck operations as its highest quality plant for the trucks in question, the "C/K" line, Sierra and Silverado. This situation has created an impression among some Canadian workers that GM Canada's president is just a puppet of the Corporation, as if he had more power to keep things going it would aid GM Canada's bottom line, his bottom line, by increasing its export sales. It is also creating the impression that GM Corporation shielded its Michigan workers from job losses due to political considerations. Why else would a company close its #1 quality plant, if it had the option of closing a lower quality one?
And, now even GM's court injunction hearing is not going well for it. See Report on Business
"WHITBY, Ont. — An Ontario judge has reserved his decision on a request by General Motors of Canada Ltd. for an injunction ordering the Canadian Auto Workers Union to end a nine-day blockade of the company's head office in Oshawa, Ont.
“This is not a simple case, and it's certainly not unimportant,” Mr. Justice David Salmers said Thursday in reserving his decision."
Sad thing with this, in essence the dispute is one of worker against worker, as in the end only so many jobs will be invovled with making the truck line in question. So every worker who keeps a job in one city means another is laid off in an different city.
Very sad overall for GM too, as it invested a lot of money in redesigning the truck line just last fall. The GM pickups offer about 2 miles per gallon better fuel economy in city and highway conditions than the Ford F-150 truck.