In addition to creating new jobs at the plant, the agreement will also cut hourly labor costs for new employees. Included in the agreement is a $3,000 signing bonus in addition to bonuses of $2,000 in each of years two, three, and four of the deal. The Oakville, Ontario plant will be home to a new vehicle production starting in 2014, while 230 or so jobs will be added in the near future when the automaker adds a third shift in Oakville in order to boost production of its Edge, Lincoln MKX and MKT models.
Under the new deal, new workers will be paid around $20 an hour starting, compared to the $24 an hour that’s currently in place. Also, workers will be enrolled in a hybrid-defined benefit pension plan as opposed to the current pure-defined benefit plan. Specific details of the agreement will not be disclosed until after ratification votes take place this weekend.
“We believe that the tentative agreement offers unique-to-Canada solutions that will improve the competitiveness of the Canadian operations,” Ford vice-president of human resources Stacey Allerton said in a statement.