Unifor and Ford Ratify Labor Agreement

The union representing Ford Motor's Canadian auto-factory workers secured enhanced pensions and double-digit wage increases in a new labor pact.

Unifor, representing 5,600 Ford workers in Canada, told the Wall Street Journal that 54% of its Ford-worker members voted in favor of the new three-year contract, ratifying the agreement.

Unifor secured the largest negotiated wage increase in its history, workers receiving a 15% raise over three years, including a 10% bump in the first year, a 2% increase in year two and 3% increase in year three.

Unifor National President Lana Payne called the new labor deal “exceptional."

Unifor’s temporary agreement improved retirement security for workers by enhancing its pension plans, the Canadian union reported. The agreement also improved retiree healthcare benefits.

Ford has been in the process of negotiating with both Unifor and the United Auto Workers in the U.S. Unifor's strategy was to use the deal with Ford as a blueprint for negotiations with the other Big Three automakers. However, in the U.S., UAW is negotiating with all automakers simultaneously.

The UAW decided not to continue its strike against Ford on Friday but announced it would strike at General Motors and Stellantis. UAW President Shawn Fain told the Wall Street Jouirnal that union negotiators had made more progress with Ford than the other two companies. 

The UAW and companies were scheduled to negotiate over the weekend. Over 18,000 workers are on strike at Detroit automakers' facilities, following an escalation on Friday that caused workers to walk off the job at dozens of parts-distribution facilities across 20 states, the WSJ reported.

Originally posted on Auto Dealer Today