Ford Canada, CAW Return To Negotiating Table

October 27, 2009 5:01 a.m. EST

Oakville, Ontario (AHN) - Ford Canada and the Canadian Auto Workers union are back at the negotiating table after talks were placed on hold for about a month.

The main issue the two parties still have to thresh out is a new wage agreement with CAW workers, although parameters may change in view of an anticipated positive third quarter for Ford's parent firm in the U.S. Even in Canada, Ford reported a 24.3 percent hike in its September sales because of the good sales of new models like the Ford Taurus, Fusion, Focus and Mustang.

While CAW president Ken Lewenza - who is negotiating a new labor contract on behalf of 7,000 CAW employees in Ford facilities in Ontario - is open for a new labor contract, he wants that in exchange for granting Ford the same concessions CAW workers in Chrysler Canada and General Motors Canada gave the two automakers, Ford will guarantee to maintain current production levels at its plants in Canada.

Ford has no plans to make cars in its St. Thomas facility after 2011. To make up for the potential shuttering of the St. Thomas plant, Lewenza is proposing a hike in production in Ford's other facilities in Ontario, but the automaker which escaped bankruptcy has not yet issued any details about its plans for its Canadian facilities.