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Magna and caw to work together

В рубриках: Automobile | Автор: admin 10.06.2011

Magna and Caw to Work Together

The Canadian auto industry has suffered a major hit as American automakers started closing down plants in the country in an effort to cut cost and turn them back to profitability. Thousands of jobs have been lost as Ford, General Motors, and Chrysler shut down plants and reduced shifts on others. The Canadian Auto Workers union headed by Buzz Hargrove is on the frontline fighting for the rights of Canadians who are working for the auto industry.

Recently, the CAW union has found an unexpected new ally in the form of Magna. From Wednesday’s Globe and Mail publication comes a statement by Frank Stronach, a top executive of Magna and Buzz Hargrove, manifested they have overlooked their differences. “We come from opposite sides of the labour relations street: a manufacturing executive and a union leader. And we’ve had our share of battles and controversies over the years. Union drives. Legal appeals. Tough negotiations. Even a strike or two. But, in recent years, we’ve noticed there are a surprising number of issues on which we now see eye to eye,” reads the statement.

The things that they found they are passionate about their country and the auto industry. “We’re both passionate about Canada,” continued the statement. “We both love autos: not just to drive, but because of the immense economic and social benefits that a healthy auto industry can generate. Yet, we both recognize that Canada’s auto industry and our entire manufacturing base face a moment of truth. New challenges in global competition mean our industry must change, or else it will continue to wither away.”

This can be considered as a surprise just like Jim Press’ departure from Toyota to join the New Chrysler. But the union and the manufacturing company may have buried the hatchet for now. “Magna and the Canadian Auto Workers union signed a “framework of fairness” that will govern how we work together for many years to come,” reads the statement. “Through this agreement, Magna accepts the CAW as a genuine partner, with a crucial role to safeguard the interests of Magna’s workers as the company grows and changes. And the CAW accepts Magna’s culture of ‘fair enterprise,’ and the unique structures we’ve put in place over the years to make decisions and resolve concerns with maximum worker participation.”

Magna who is in place to provide Canadian consumers with auto parts such as the heater core Canada and other auto parts and CAW has formed an agreement which will be great for Canadian auto workers. As the joint statement puts it: “We think we are combining the best of both worlds: the best traditions of union protection and security, the best features of Magna’s fair enterprise corporate culture. Indeed, economic studies have suggested that companies that pair union representation with extensive mechanisms for worker involvement and participation attain the best possible combination of high productivity and high morale.”

The joint statement explains how the agreement will work. “Production workers at Magna’s Canadian facilities will have the opportunity, in supervised secret-ballot votes, to consider a new labour contract and join the CAW. In facilities where a majority of the work force supports the union, the CAW will become the recognized bargaining agent and the employees will be covered by a new CAW-Magna national collective agreement.”

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