Automaker Stellantis has announced a memorandum of understanding with Canadian armored vehicle maker Roshel concerning the potential sale of its dormant Brampton assembly plant in Ontario. Meanwhile, the union representing Canadian workers at Stellantis has halted contract discussions due to a deadlock regarding the future of the Brampton facility.
Trevor Longley, the chairman, president, and CEO of Stellantis Canada, stated that the company explored various options for the plant, which has been inactive since 2023. Longley emphasized that Stellantis views Roshel as a viable avenue to reviving sustainable operations at the Brampton Assembly, maintaining the site’s crucial role in Canada’s advanced manufacturing sector, and preventing a prolonged period of inactivity.
Unifor is currently evaluating next steps and plans to share further information in the coming days. Unifor Local 1285 President Vito Beato expressed concerns about third-party involvement in bargaining discussions and the future of the assembly plant.
The existing collective agreement between the automaker and the union is scheduled to expire on September 20 at 11:59 p.m. Talks commenced on September 1 in Toronto after Unifor ratified new collective agreements with Ford Motor Co. and General Motors in Canada earlier in the summer, following a pattern bargaining process with each of the Detroit Three.
The union had set a deadline of September 11 to reach a new agreement with Stellantis but announced on Friday that negotiations had stalled after 10 days. Unifor spokesperson Kathleen O’Keefe stated that the company’s proposal to close and sell the Brampton plant had impeded the bargaining process, posing risks to the wages, pensions, and benefits of Unifor members.
More than 2,000 workers were laid off from the Brampton plant when operations ceased in 2023. Concerned members awaiting updates on income protection during the negotiation pause will receive information soon, according to Beato.
Roshel’s CEO, Roman Shimonov, declared on Friday that laid-off workers in Brampton would receive priority consideration for jobs at the plant. Shimonov outlined plans to establish a Canadian Centre of Excellence for Defense Manufacturing in Brampton, offering opportunities for former Unifor employees to return to work.
Brampton Mayor Patrick Brown expressed disappointment over the potential sale, labeling it as a broken commitment from Stellantis that has left workers uncertain for nearly three years. Brown called for federal intervention to hold Stellantis accountable and demanded transparency from Roshel regarding job proposals and investment timelines.
Unifor highlighted the uncertainty surrounding job forecasts at Stellantis’ Windsor assembly plant and Etobicoke casting plant. The union emphasized the need for a resolution for Local 1285 members at Brampton before finalizing any tentative settlement.
James Stewart, president of Unifor Local 444, outlined the union’s priorities in negotiations with Stellantis and indicated that discussions are ongoing despite the pause in bargaining. Stewart emphasized the need for a resolution on the future of the Brampton plant, investments in facilities, and alignment with bargaining patterns established with Ford Motor Company.
Stewart clarified that the pause in bargaining is not indefinite and that the union is exploring options and planning next steps after reaching an impasse with Stellantis management’s intention to sell the Brampton plant. The union is engaged in discussions with the company to determine the way forward without setting a strict deadline.