Automaker Stellantis has announced the signing of a memorandum of understanding with Canadian armored vehicle manufacturer Roshel regarding the potential sale of its dormant Brampton, Ont., assembly plant. Concurrently, the union representing Canadian workers at Stellantis has halted contract negotiations due to a deadlock concerning the future of the Brampton facility.
Trevor Longley, the chairman, president, and CEO of Stellantis Canada, revealed that the company explored various options for the plant, which has been inactive since 2023. Longley expressed confidence in Roshel as a viable avenue to revive sustainable operations at the Brampton Assembly, emphasizing the preservation of the site’s significance in Canada’s advanced manufacturing sector and the prevention of prolonged inactivity.
Unifor is currently deliberating on the next course of action and intends to provide additional updates in the coming days. President of Unifor Local 1285, Vito Beato, conveyed concerns about third-party involvement in bargaining discussions and the future of the assembly plant, emphasizing the union’s stance on maintaining autonomy in the negotiation process.
The existing collective agreement between Stellantis and the union is due to expire on September 20 at 11:59 p.m. Talks commenced on September 1 in Toronto following Unifor’s successful ratification of new collective agreements with Ford Motor Co. and General Motors in Canada earlier in the summer, as part of its pattern bargaining strategy with the Detroit Three automakers.
The union had set a September 11 deadline to reach a new agreement with Stellantis but announced on Friday that discussions had collapsed after ten days. Unifor spokesperson Kathleen O’Keefe attributed the breakdown to the company’s persistent proposal to close and sell the Brampton plant, which has impeded the negotiation process and posed threats to the livelihoods of union members and the industrial sector in Canada.
Roshel’s CEO, Roman Shimonov, assured on Friday that the laid-off workers from the Brampton plant would receive priority consideration for job opportunities at the facility. Shimonov outlined plans to establish a Canadian Centre of Excellence for Defence Manufacturing in Brampton, alongside the current automotive production activities, with a commitment to re-employing Unifor workers through various procurement programs and opportunities in automotive and defense sectors.
Brampton Mayor Patrick Brown expressed disappointment over the potential sale, denouncing Stellantis for leaving workers in a state of uncertainty for nearly three years. He urged the federal government to hold Stellantis accountable for its commitments and emphasized the need for transparency from Roshel regarding job creation plans and investment timelines.
Unifor highlighted the uncertainty surrounding job forecasts at Stellantis’ Windsor assembly plant and Etobicoke casting plant, stressing the union’s firm stance on securing a suitable resolution for Local 1285 members at Brampton before reaching any tentative settlements. Stellantis refrained from further comments to respect the ongoing collective bargaining process with Unifor.
In a video statement, James Stewart, president of Unifor Local 444 (Windsor Assembly), outlined the union’s priorities in negotiations with Stellantis, emphasizing the need for resolutions related to the Brampton plant’s future, facility investments, and bargaining patterns. Stewart disclosed that the union’s decision to pause negotiations following Stellantis’ intention to sell the Brampton plant is not indefinite, with discussions ongoing to determine the next steps in collaboration with the company.