The UAW may have accepted the Big Three’s two-tier wage system back in November of last year, but the UAW’s Canadian counterpart – the CAW — says it has no plans to accept such concessions when negotiations with the automakers begin in July.
“We are not accepting second-class workers in our workplaces,” CAW president Buzz Hargrove said.
According to Automotive News, the CAW — which represents 27,000 workers — indicated that it would go on strike before it accepted a two-tier wage system. Under a similar system in the U.S., new workers can be hired for as little as $14 an hour, whereas the old system had workers starting out at $28 per hour.
Making the situation even more complex is that fact that the Canadian dollar is now on par with the U.S. dollar, eroding the value of producing cars in Canada.
However, the CAW says it is willing to help the automakers with some issues, such as retiree benefits. But because Canada’s health care is publicly funded, there are only marginal gains to be had in that area.
The CAW’s labor contract with the Big Three is set to expire September 17th.



03/26, 12:07 PM
posted by:
buenos
… or, you could just be out of a job all together.
Buzz Hargrove worked on the Chrysler line back when they were making the worst cars in the business… oh, wait… yeah… never mind.
03/26, 12:54 PM
posted by:
johnnycanuck
“We are not accepting second-class workers in our workplaces,”. Translation: we are not going to put up with people getting paid half the money doing twice the work.
03/26, 12:56 PM
posted by:
agent09
johnnycanuck u are a dumb****.
03/26, 1:03 PM
posted by:
jackjimturkey
I think the union has to take this. As long as there are seniority protections and no pay cuts for current workers, it probably needs to happen.
03/26, 1:06 PM
posted by:
F451
I’ve always liked Canadians, so more power to them!
03/26, 1:08 PM
posted by:
Impulsive
‘buenos’, yup. Standing firm in not accepting what you will be begging for in a few years is utter stupidity. Sure, it’s disguised as strength and pride today but, with the Canadian dollar about to make a run towards 1.15 to the US dollar, these clowns will be grovelling for a job shortly, nevermind fighting for a ludicrous level of pay which is absurd.
03/26, 1:23 PM
posted by:
johnnycanuck
Agent09: why do you need an artificial wage level to be productive? And if you’re going to slam someone’s post at least take it past the kindergarten level.
03/26, 1:25 PM
posted by:
inspire
Do people know why the CAW won’t accept 2-tier pay scale? Taken from the Windsor Star (automotive capital of Canada, and across the border from Detroit, MI):
Quote:
“We are not accepting second-class workers in our work place,” Hargrove said. “That will not be my legacy.” He said the union will strike to prevent two-tier wages from coming to Canadian plants. “Taking less for our work is not a solution.”
/end Quote
Read that … “That will not be MY LEGACY.” It’s all about ego, not economics. He’s worried that HIS IMPORTANT NAME isn’t associated with it. Message to Buzz and other union-nazis … writing is on the wall. Your unions brothers in the US have accepted it. You’d better follow the line and go along with the concessions your brothers in the south have accepted. If you cause any further losses (financially and/or politically), that will sully your so-called prized name more in history.
Source: http://www.canada.com/windsorstar/story.html?id=28282df4-b793-408b-83d0-49c8262d1271&k=65267
03/26, 1:32 PM
posted by:
johnnycanuck
inspire: great post.
03/26, 1:50 PM
posted by:
JennyFromTheBlock
I hate canadialand too.
johnnycanuck: great post.
03/26, 1:56 PM
posted by:
tob
Big 3 to CAW: You won’t half too.
Don’t let turnstile hit you on the butt on the way out though when your plant closes.
Reason CAW will take paycut: UAW already has, Canadian $ to US $ ratio, Mexico etc etc. It a buisness Buzz they’ll build them where it makes money to do so. However the big 3 might save a lot on health care cost up there though because of the national system.
03/26, 2:08 PM
posted by:
DeansterTJ
Buzz Hargrove can suck my ****ing gooch. Nothing will make me happier than seeing a sea of unemployed down-n-out union monkeys selling their bungalows in Hamilton and heading for the trailer parks. Have fun striking ****sucking commies!
03/26, 2:24 PM
posted by:
F451
@ DeansterTJ, commies? I haven’t seen the word in a while, but you forgot to put “pinko” after commie if you want it ring true to its heritage.
03/26, 2:28 PM
posted by:
Commodore
There is some sort of rule though that for every 4 cars the big three sells in Canada, at least three have to be produced there or something like that. It is a NAFTA-like trade agreement or something…so if the Big 3 sell 200,000 cars in Canada in a year, at least 150,000 much be produced there. It’s something like that but basically it means that they can’t just close their factories in Canada. They have to work something out. I think it will be slightly more than the US deal – so they WILL eventually accept a two-tier system but it will start at something like $17-21 instead of $14 to compensate for the value of the Canadian dollar and the fact that the Big 3 don’t pay their workers health care benefits.
Anyway, there will be strike(s) but hopefully they will resolve it before the Camaro starts production in Ontario in a year or so.
03/26, 2:51 PM
posted by:
cookie4me
Commodore,
I doubt the American auto manufacturers are bound by NAFTA to produce cars there. Even if it is true, one could make a business case for closing them up and shifting production to the US where there is plenty of idle factories and idle workers. Canada would have to think twice because demand would quickly outstrip supply and send thousands across the borders to purchase US spec cars. Canada and Mexico liked NAFTA while it favored them and now that the roles are reversed it will be funny to see how they cry “it is so unfair!”.
Inspire hit it on the nose, its all about image. I hope they strike for 6 months because I don’t think the US companies have much to lose as they probably have just as much inventory in Canada as they do here plus they make less profit ( or use to ) on Canadian cars.
03/26, 2:59 PM
posted by:
SS4LIFE
ATTENTION EVERYONE. As of todau 3/26/08 I will no longer be posting comments on here due to the lack of maturity, and problems of whoever is using our LLN handles and trying to impersonate me and anyone else, and therefore causing problems.
If any comments after this post are said by my handle, they will have a hyperlink to a gay porn site (Do not click on it) and are deemed offensive to anyone just know it wasn’t said by the real me. After using LLN over the past 7 months, it’s sad it’s come to this. Good luck everyone.
03/26, 3:04 PM
posted by:
MercMark
There goes the Canadian auto industry.
Chrysler was probably going to close whatever it had there anyway.
I’d hate to be an autoworker in the US or Canada.
03/26, 3:59 PM
posted by:
sharpie
$28 / hour for factory work is quite a bit. Not many hourly professions can pull that kind of wage and when you are hourly, they have to pay overtime, making it even better than some management positions on salary where they work anywhere from 40-70 hours a week without OT. I do think $14 is probably entry level wage with room to go up, perhaps $16-$17 is more reasonable. Outside of the CAW, I don’t know of any company not using some tier wage system and pay all employees the same wage. Maybe it’s time to computerize assembly lines.
And NAFTA is an agreement, which can be revoked, especially by the stronger economy. I am sure if there was that 3 out of 4 cars has to be made in Canada requirement, Congress will fix that if it is a choice between NAFTA or having one of the Big Three folded.
03/26, 4:57 PM
posted by:
G
Cookie4me: “Canada and Mexico liked NAFTA while it favored them and now that the roles are reversed it will be funny to see how they cry “it is so unfair!”. ”
Are you insane? You’re talking about Canada and Mexico as if they’re somehow in the same league. Have you been down to Mexico and up to Canada? Crossing the border to Mexico seems like you’re going to a third world country, unless you’re in a resort area. A lot of Canadian cities seem advanced when compared to a lot of US cities. And NAFTA still favors Mexico tremendously in terms of cheap labor and products. It’s only Canada that’s changed due to the exchange rate. (And for those of you old enough to remember, the Canadian dollar used to always be higher than the US dollar until around … 25 years ago) Or did you think that Canadians were nothing but a bunch of Eskimos living in Igloos, driving their Big Three snowmobiles to work?
$28/hour STARTING to work on an assembly line, along with their ridiculous benefits, is the biggest bull****. Those ****ing unionized autoworkers deserve to take it up the ass. $14/hour + benefits seems more than reasonable.
I just managed to get a position as a Project Manager, and I’m a little underqualified so I’m starting at a lowered salary, but with the hours I’ll be working I won’t near $28/hour for at least 2-3 years or so probably. And that’s what they START at for a 9-5 factory job, + OT. The only day(s) I’ll ever work a 9-5 is if I’m in the office on a Sat or Sun! (No OT there!) And that would make it my 6th or 7th work day of the week, while those bloody CAW boys are relaxing at a bbq sipping on beer!
03/27, 1:31 AM
posted by:
jabari
Sharpie if youre a professional making less than $28 an hour, sucks for you, do mortgages or something. G you dumbass ‘tard union workers start at $14.80 and it take 3 years to reach that level, Deanster why would you want people to lose their job, sounds like hate, and i agree with Buzz not wanting to be the George Bush of the CAW, after all that i see ALOT of production shifting back to the US because of our ****ty dollar, Vive Mexico Bitches because thats where everybodys job is going.
03/27, 1:02 PM
posted by:
jackjimturkey
G stop your whining.