CAW, GM reach tentative deal

Canadian Auto Workers (CAW) President Ken Lewenza. (QMI AGENCY FILE PHOTO)

Canadian Auto Workers (CAW) President Ken Lewenza. (QMI AGENCY FILE PHOTO)

QMI Agency

, Last Updated: 11:13 PM ET

The Canadian Auto Workers union reached a tentative deal with General Motors Thursday night, but is still negotiating with Chrysler.

That makes Chrysler only last auto-maker that has yet to reach a compromise with the the union, which struck a tentative deal with Ford earlier this week.

After nearly 30 hours of negotiations, GM agreed to a deal similar to that struck with Ford.

“Tomorrow, we work with Chrysler,” said CAW president Ken Lewenza said, warning the union, which represents 20,000 workers, is ready to serve a strike notice if necessary.

Under the deal reached Thursday, GM will keep its consolidated plant in Oshawa, Ont., open through 2014, saving some 750 jobs for a couple of years. GM also promised to create or maintain 1,750 Canadian jobs and invest $675 million in capital spending in Canada.

As well, GM will add a third shift at it's flex plant in Oshawa, creating 900 jobs.

While there are no wage increases, workers will get a $3,000 ratification bonus upon agreeing to the deal, as well as $2,000 a year in the second, third and fourth years for cost-of-living increases.


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