Automaker Stellantis has inked a preliminary agreement with Canadian armored vehicle manufacturer Roshel for a potential transaction involving its dormant Brampton, Ontario, assembly plant. On the other hand, the Canadian workers’ union at Stellantis has halted contract negotiations, citing a deadlock regarding the future of the Brampton facility.
Trevor Longley, chairman, president, and CEO of Stellantis Canada, disclosed that the company explored various options for the plant, which has been inactive since 2023. Longley expressed in an emailed statement that Stellantis views Roshel as a viable avenue to revive sustainable operations at the Brampton Assembly plant, safeguarding its key role in Canada’s advanced manufacturing sector and averting an extended period of inactivity.
Unifor is currently evaluating the next course of action and intends to share more information in the coming days. President of Unifor Local 1285, Vito Beato, emphasized in a video message to union members that third parties should not interfere in bargaining processes, particularly discussions concerning the future of the assembly plant.
The existing collective agreement between the automaker and the union is slated to expire at 11:59 p.m. on September 20. Negotiations commenced on September 1 in Toronto after Unifor successfully approved new collective agreements with Ford Motor Co. and General Motors in Canada earlier in the summer, following their pattern bargaining approach with each of the Detroit Three.
The union had set a September 11 deadline to reach a new agreement with Stellantis but announced on Friday that talks had collapsed after ten days. Unifor spokesperson Kathleen O’Keefe cited that the company’s persistent proposal to close and sell the Brampton plant had impeded the bargaining process, jeopardizing the wages, pensions, and other benefits of Unifor members, and impacting Canada’s industrial sector and the Brampton community.
She stressed that automotive assembly in Canada holds significant economic value, including the extensive supply chain, regional economic activity, and high-quality union jobs associated with it. Over 2,000 workers were laid off when operations ceased at the Brampton plant in 2023.
Roshel’s CEO, Roman Shimonov, assured in a statement that the laid-off Brampton workers would receive priority consideration for roles at the plant. Shimonov outlined plans to establish a Canadian Centre of Excellence for Defence Manufacturing in Brampton, alongside its existing automotive production, offering commitments to rehire workers through various programs and opportunities.
Brampton Mayor Patrick Brown expressed disappointment over the potential sale, emphasizing the prolonged uncertainty faced by workers. He criticized Stellantis for what he deemed as reneging on commitments and abandoning Brampton, calling for government intervention to hold the company accountable.
Unifor highlighted the lack of confirmed plans for the Windsor assembly plant and Etobicoke casting plant, reiterating the importance of resolving issues at the Brampton plant before finalizing any settlements. Stellantis refrained from further comments to respect the ongoing bargaining process with Unifor.
James Stewart, president of Unifor Local 444, revealed in a video statement that the union’s priorities in negotiations with Stellantis were not met. Following an impasse with the company, Stewart clarified that the decision to pause bargaining was not indefinite and that discussions on next steps were underway. The union is yet to establish a firm deadline for further actions.
