Unifor Warns of Potential Stellantis Strike Over Brampton Plant Fate
The union representing thousands of workers at Stellantis says it won’t rule out a strike against the automaker after contract talks collapsed over the potential sale of the company’s idled Brampton plant to defence contractor Roshel — a deal the union says came after repeated assurances Stellantis was committed to the plant.
“We do not accept that the options are Roshel or nothing,” said Unifor national president Lana Payne at a press conference Thursday.
In an emailed statement, Stellantis said the proposed Roshel deal was the best option.
“We believe this outcome is in the best interest of both the community and employees, transforming an idled facility into a productive operation that can create jobs quickly and support long-term economic growth,” the company said. “Stellantis remains committed to its broader manufacturing, research and development footprint in Canada.”
Roshel didn’t immediately reply to a request for comment.
The union’s contract with Stellantis expires at 11:59 p.m. Sept. 20, but union members haven’t yet taken a strike vote.
“Bargaining remains extremely challenging right now,” Payne said. “Strike action remains a real possibility.”
Just over a month ago, according to Payne, Stellantis executives said there was still a future for the automaker’s idled assembly plant in Brampton.
A bid from Roshel changed that overnight, Payne said.
“Right up until August 12, Stellantis was telling us they were committed to this plant. Then things started to change,” Payne said Thursday. “Suddenly, there was no future for Stellantis in Brampton. Suddenly, there were no more options.”
Late last week, Stellantis announced it had signed a memorandum of understanding with Roshel to sell the Brampton plant.
Thursday, Stellantis sent a letter to union members, saying the Brampton plant was no longer economically viable, citing market conditions and the current trade environment.
“Over the past several months, Stellantis has evaluated a range of options to return production to Brampton, including potential new product allocations, interim production concepts, and opportunities with other companies,” said the letter from Stellantis Canada president Trevor Longley. “While each option was carefully reviewed, none provided a sustainable long-term business case that would support continued operations at the facility.”
Payne scoffed at reports Roshel has claimed it would hire up to 2,000 Stellantis workers.
“They’re saying that but I think it’s contingent on (winning) government contracts,” Payne said.
Payne also urged the federal government to hold Stellantis to its commitment to Brampton.
Wednesday, federal Industry Minister Melanie Joly said the government’s preferred option is to have Stellantis keep the plant alive and give it a new model to produce.
“We want a new model from Stellantis at the Stellantis plant, and we’ll put maximum pressure to make that happen. And if they don’t, we’ll get our money back,” Joly said. “When it comes to any potential sale of the plant to any other company, we will make sure that we protect Canadian workers.”
Roshel, founded in 2016 and based in Brampton, already has a 400,000-square-foot manufacturing plant in Brampton, and another plant in Shelby Township, Mich. It has supplied armoured vehicles to police forces in the U.S. and Canada, and came under criticism in both countries for selling some of its vehicles to U.S. Immigration and Customs Enforcement (ICE). It has also supplied thousands of vehicles to Ukraine.
In April, Roshel signed an agreement with Sault Ste. Marie-based Algoma Steel to create a joint venture to produce ”ballistic steel,” with potential uses in military shipbuilding and armoured vehicles.
The Stellantis assembly plant in Brampton has been idle since December 2023, when it shut down for retooling to produce a new version of the Jeep Compass.
Last year, the company paused the retooling, citing changing market conditions, including tariffs imposed by U.S. President Donald Trump. Stellantis subsequently shifted production of the Compass to U.S. plants.
If the Brampton plant is sold, “it would be the first auto plant to fall in this trade war,” Payne said.
“Selling that plant in the middle of a trade war and in the middle of collective bargaining is unacceptable. … When plants close, they rarely if ever come back.”
This article was first reported by The Star
