General Motors may have reached an agreement on concessions from the Canadian Auto Workers union, but Ford is saying that GM’s agreement is not enough for them and they want much deeper concessions from the union. Automotive News reports:
Ford Canada will not accept the same labor agreement that General Motors of Canada recently struck with the Canadian Auto Workers union because the deal will not deliver enough cost savings, Ford said on Friday.
The company joined Chrysler LLC in saying it wants more concessions from the CAW, which has agreed to open up contract agreements with the Detroit-based automakers to try to help the companies though the brutal downturn in the auto sector.
“We believe the recently negotiated agreement between General Motors Canada and the Canadian Auto Workers will not keep Ford’s Canadian operations competitive in today’s global economy,” Joe Hinrichs, Ford group vice president, global manufacturing and labor affairs, said in a statement.
Chrysler last week said the same thing and even threatened to close its Canadian operations if the union did not agree to modifications to its contracts to save more on labor costs.