Talks open with Stellantis
Unifor, Canada's largest private sector union, began contract negotiations with Stellantis NV on Tuesday, with the future of the company's Brampton assembly plant emerging as a central issue. The talks come after the union ratified contracts with Ford and General Motors, using a pattern-bargaining strategy that typically saves the most difficult negotiations for last.
Unifor President Lana Payne said the union's focus in this round of bargaining will be on Stellantis's commitment to Canada. "Our focus in this round of bargaining will be on Stellantis' commitment to Canada, and what that looks like," she said.
Stellantis employs more than 9,000 Unifor workers in Canada, most at the Windsor assembly plant that builds Chrysler minivans and Dodge Chargers, along with a castings plant in Toronto. The company closed its Brampton plant in 2023 and laid off 2,200 workers, according to The Globe and Mail. The plant was slated to be retooled to build the Jeep Compass, but Stellantis moved that production to the United States shortly after S. President Donald Trump announced tariffs on Canadian-made cars last year.
The Brampton plant currently sits idle with no timetable for return, as reported by the Detroit Free Press. In the last contract, Stellantis promised to reopen the plant and build the next-generation Jeep Compass there, with a roadmap in that agreement calling for Brampton workers to return to full production in the third quarter of 2026. The retooling process has stalled since the company shifted the Compass to the S.
Brampton's uncertain future
In August, Stellantis said it planned to begin talks with a third party about a possible sale of the factory, according to the union. Payne called the potential sale a "gut punch" in comments reported by the Detroit Free Press. The union has said the plant's future is a priority in the talks.
Stellantis Canada president Trevor Longley said in a statement that the company has invested more than $8-billion in Canada since 2022, reflecting its confidence in Canadian manufacturing. "As the automotive industry continues to navigate significant economic, trade and competitive pressures, our goal is to reach an agreement that recognizes the contributions of our employees while helping ensure our Canadian operations remain competitive," he said.
Stellantis Canada spokesperson Lou Ann Gosselin said in an emailed statement that the company is "preparing to enter the collective bargaining process" and that its "focus remains on finding a sustainable manufacturing solution for Brampton Assembly."
Unifor official James Stewart acknowledged the difficulty ahead. "We expect there to be some difficult conversations in the days to come but our bargaining team is here to do the work and to get the right deal for all our members," he said in a statement.
The current contract between Unifor and Stellantis expires September 20.
Trade war context
The dispute over Brampton is set against a backdrop of trade tensions. The S. last year applied 25% tariffs on Canadian-made cars, minus S. content, and 50% levies on steel and aluminum, as reported by The Globe and Mail. The S. has also applied 50% tariffs on a range of Canadian imports and has said it will impose the same levy on cars, steel and auto parts on January 1. Canada has announced retaliatory tariffs.
Labor expert Harley Shaiken told the Detroit Free Press that Unifor could attempt to bargain for the reopening of Brampton, but it would require heavy concessions. The plant needs to be retooled, and Stellantis launched a massive investment into its S. manufacturing footprint in October 2025.
Recent deals with Ford and GM
Unifor's contract with Ford secured a three-year agreement with annual wage increases, improved job and income security, pension gains, and other improvements, as reported by the Detroit Free Press. The GM deal, ratified by Unifor members, provided 3% wage increases in each of the contract's three years and a promise not to sell the CAMI Assembly Plant in Ingersoll, Ontario.
Unifor's GM employees ratified a deal covering 4,600 workers at plants in Oshawa, Woodstock, St. Catharines and Ingersoll. GM said it will spend an additional $144-million at its Oshawa plant to start production of the GMC Sierra heavy-duty truck and announced a $215-million investment at its propulsion plant in St. Catharines, according to The Globe and Mail.