General Motors Canada and Unifor reached an agreement that will see the automaker invest more than $170 million to transition Oshawa Assembly operations to parts manufacturing and advanced vehicle testing, according to a press release.
GM will basically convert part of the Oshawa plant property into a test track for autonomous and advanced technology vehicles. The OEM is transitioning operations at the plant from vehicle assembly to stamping, related sub-assembly, and other miscellaneous activities — for GM and other auto industry customers.
“By maintaining a footprint in Oshawa, and keeping the plant intact, we save hundreds of jobs and this gives us the ability to build and create new jobs in the future,” said Jerry Dias, Unifor National President. “We are in a much better position than we were five months ago when the plant was closing.”
The move will help retain 300 jobs of the near 3,000 jobs anticipated to be lost when GM closes the plant later this year. The shift may also potentially add on new jobs if the business attracts new customers.
Part of the agreement also involves GM Canada offering special relocations to Oshawa employees for jobs at its other Ontario operations. The OEM will also offer “enhanced” retirement packages to eligible employees, which will include vouchers toward the purchase of new GM vehicles.
A “Jobs Action Centre” will be opened in June 2019 to help employees plan for future career opportunities. GM also said it would offer “retraining financial support for all qualified Oshawa Assembly hourly employees seeking new employment.”
“This transformation plan is very significant as it positions Oshawa for a sustainable future,” said GM Canada president and managing director Travis Hester. “This agreement maximizes the support for our people and their families, and further secures Oshawa as a key in developing vehicles of the future at our new test track.”
