Deal with Fiat Chrysler secures $1.5 billion electric vehicle investment

The FCA US Windsor Assembly Plant builds the Chrysler Pacifica and the Dodge Grand Caravan on the same assembly line

Dias announced that FCA has agreed to invest in a multi-energy vehicle platform at Windsor Assembly that will include the assembly of both plug-in hybrid and battery electric vehicles with at least one new model in 2025.

The tentative deal with Fiat Chrysler also follows the contract reached between Unifor and Ford Motor Co. last month, which included a $1.8 billion commitment to overhaul the company's Oakville, Ont. plant so it can build battery-powered electric vehicles.

FCA will be supplying the majority of the financial investment, but Dias said the company is still in talks with both the province and Ottawa for some financial support. FCA's Windsor assembly plant still employs 4,600 people, after a massive 1,500-person layoff in June when the facility moved into a two-shift schedule.

Unifor has reached a tentative agreement for 9000 members @FiatChrysler_NA averting strike at plants in Windsor, Brampton, Etobicoke, Mississauga, Montreal, & Red Deer.

"Not only is Fiat-Chrysler maintaining the current portfolio but they will be investing three derivatives to enhance the current portfolio", Dias said.

Additionally, the headcount at Fiat Chrysler in Canada is expected to grow by almost 2,000 as a result of the new platform, with workers starting to come on board in 2023.

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Up to 2,000 jobs would be added to the Windsor plant in 2024, according to the union, which comes after roughly 1,500 positions were cut at the factory earlier this year.

The news came as part of an interim agreement with Canadian auto workers (Unifor), announced by the union's national president Jerry Dias on Thursday.

Meetings to ratify the agreement between the union and the FCA group will be held over the weekend and members will vote on accepting or rejecting it on Sunday.

Unifor President Jerry Dias was in direct contact with FCA executives to get a deal done.

"With this investment and as vehicles start to roll off the assembly line in 2024, our third shift will be back and we expect that the total jobs will rise to over 2,000 more in the community in Windsor", said Dias.

The union said on Wednesday that negotiations had continued through the Thanksgiving weekend, as Fiat Chrysler challenged elements of the union's agreement with Ford, including wages and health-care benefits. Unifor will then turn its attention to negotiation with GM, the last the Big Three OEMs.

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