Canadian labor union Unifor announced Sunday its members voted to ratify a three-year contract with Ford Motor, which comes as the Detroit automaker is facing separate negotiations with its U.S. union over pay and benefits.
Members of Unifor, which represents about 5,600 Canadian workers at Ford, began voting Saturday on an agreement that was revealed on Tuesday. The contract included gains in wages and pensions, and a renewed commitment to investments and job security.
Unifor also represents 14,000 workers at General Motors and Stellantis in Canada, according to the Detroit Free Press.
"Congratulations. The ballots have been counted and you have ratified a three-year agreement that will see tremendous gains for autoworkers," union leaders wrote on the union's website. "On behalf of the entire bargaining team, we would like to thank all members for their support and solidarity throughout these negotiations."
FORD REACHES TENTATIVE AGREEMENT WITH CANADIAN AUTO WORKERS
The agreement provides significant wage increases, bonuses, additional paid time off, retirement enhancements, significant inflation protection provisions and an accelerated grow-in period for new hires, Ford wrote in a news release. The company also said it is "modernizing the workforce design" to support the future of electric vehicles.
The union's members are expected to receive a 15% wage increase over the three-year term of the contract, which also includes improved monthly pension benefits and a new pension plan that would start in 2025 for some workers.
FORD FACES POTENTIAL CANADIAN AUTOWORKER STRIKE
"Our Unifor-represented autoworkers are the heart of Ford of Canada," Ford of Canada president and CEO Bev Goodman said in the release.
"This contract invests in our talented and dedicated employees, who remain consistently focused on the critical work of assembling our vehicles, building our engines and components, improving customer satisfaction, and expediting parts delivery service to our more than 400 dealers. Together, we are ensuring our Canadian operations continue to deliver with the skills, knowledge, and processes to compete and win."
The vote by Unifor members comes as the United Auto Workers union continues its labor strike in the U.S. against Ford, General Motors and Stellantis.
The strike began on Sept. 15 and expanded Friday as 5,500 workers joined the strike across 38 sites in 20 states.
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Unifor said in its announcement that it will soon reveal its next target company.