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CAW Faults DaimlerChrysler's Offer

  • 10-15-2002
TORONTO (AP) -- DaimlerChrysler AG's initial contract offer to the Canadian Auto Workers is insulting and will trigger a strike unless completely reworked, union president Buzz Hargrove said Monday.þþThe union has set a deadline of Tuesday at midnight for an agreement or walkout.þþThe company's offer came about 36 hours before the deadline and matches the economic pattern set during recent negotiations with General Motors Corp., Hargrove said.þþBut he said DaimlerChrysler refuses to budge on work-rule changes and protecting jobs at two Ontario plants -- a commercial van plant in Windsor and a car plant in Brampton.þþHargrove also said the company will not withdraw what he said were unacceptable work rule concessions.þþThe Windsor plant is threatened with closure when it stops producing Dodge commercial vans in July. About 1,200 union jobs would be lost if the plant closes.þþTwo years ago, DaimlerChrysler announced an investment of about $1 billion at the plant, upgrading a previous commitment of about $400 million.þþThe union says the company is going back on its word by considering closing the plant, while DaimlerChrysler says there is no business rationale for producing a new vehicle there.þþIts offer Monday proposed to save 65 percent of the jobs by moving workers to a second plant in Windsor. The union says it fears that DaimlerChrysler will only move the workers if its new crossover SUV, the Chrysler Pacifica, is successful and if demand keeps up for other minivan models produced there.þþThe Pacifica is slated to begin production in Windsor early next year.þþDaimlerChrysler spokeswoman Kerrey Kerr said that the plan does hinge on market demand but added that ``we're very confident about the success of the Chrysler Pacifica'' and the other minivans.þþHargrove said the company offered no solution to the layoffs at a 4,200-worker sedan plant in Brampton, west of Toronto, where about 900 people are on layoff.þþBut Hargrove and Kerr said they were optimistic of a deal on the Brampton jobs.þþThe work rule changes that DaimlerChrysler seeks cover scheduling, overtime and seniority rules.þþ

Source: NY Times