Canadian Auto News Watch - Tuesday March 31, 2015 General Motors Corporate News Oshawa GM plants linked to 33,000 jobs, union says; Two assembly plants worth $5B annually to national economy, Unifor report states Byline: Dana Flavelle Toronto Star, Page: S8, Edition: ONT Toronto Star - Tue Mar 31 2015 Union sounds warning on 33,000 jobs Note: Also in The Peterborough Examiner, The St. Catharines Standard , The Toronto Sun, The Niagara Falls Review. Byline: ANTONELLA ARTUSO , QMI QUEEN'S PARK BUREAU CHIEF, Page: B2, Edition: Final The London Free Press - Tue Mar 31 2015 77 victims' families from faulty GM switches to get compensation Note: Also in Montreal Gazette. Source: The Associated Press, Page: B1 / Front, Edition: Early Windsor Star - Tue Mar 31 2015 Investing in auto industry benefits all Byline: MIKE VAN BOEKEL, Page: A4, Edition: Final Woodstock Sentinel-Review - Tue Mar 31 2015 Time to pump the brakes on auto-sector investing Byline: IAN McGUGAN, Page: B2, Edition: Ontario The Globe and Mail - Tue Mar 31 2015 Falling dollar gives lift to Canadian auto sector Byline: GREG KEENAN, Page: B1, Edition: Ontario The Globe and Mail - Tue Mar 31 2015 Return to top General Motors Product News 2015 GMC Canyon SLT 4WD | Driving Permalink: driving.ca... driving.ca - Tue Mar 31 2015 Mark Gravel's electric car in Kitimat, B.C. a 'fit' with lifestyle Byline: CBC News CBC.CA News - Mon Mar 30 2015, 8:00am ET Return to top General Motors Corporate News Oshawa GM plants linked to 33,000 jobs, union says; Two assembly plants worth $5B annually to national economy, Unifor report states Toronto Star Tue Mar 31 2015 Page: S8 Section: Business Byline: Dana Flavelle Toronto Star Ontario would lose up to 33,000 jobs within two years if General Motors' auto assembly plants in Oshawa closed, a study done for the autoworkers union predicts. Canada's economy would shrink by more than $5 billion a year, the report released Monday by Unifor estimates. As well, government coffers would suffer a permanent loss of tax revenues, boosting their deficits by up to $1 billion a year, according to the study by Robin Somerville of the Centre for Spatial Economics, an economic modelling firm. "Canada is a great place for GM to do business, and we all benefit greatly from them being here," Unifor national president Jerry Dias told a press conference. "This underlines why Canada needs a focused strategy to win new auto investment, just like other countries have." The study comes amid growing concerns about the future of GM's two remaining Oshawa plants. A spokesman for GM Canada said no decision about the assembly complex would be made until the end of 2016 following contract negotiations with the union. That's also the year GM's commitment to maintain a specific level of production in Canada - as part of a $10.85-billion bailout by the Ontario and Canadian governments - expires. "We're already in discussions with all three levels of government and with the union as well in terms of things we can do to make sure we're as competitive as we possibly can be," GM spokesman David Paterson said in a telephone interview Monday. Oshawa already has a lot going for it, Paterson said, noting the flex line, which produces the new Impala and three other vehicles, and the paint shop are both "state of the art." The falling Canadian dollar is also helping make Oshawa more competitive with GM's U.S. plants, he said. GM Canada chief executive officer Stephen Carlisle said recently he was optimistic about the outcome of the discussions. Prime Minister Stephen Harper declined to comment on whether his government would invest in Oshawa. However, he noted the government has a $250-million fund earmarked for the auto industry. Harper made the comments during a visit to the Honda Canada plant in Alliston, Ont. Honda Canada said it will begin exporting the CR-V to Europe. No new jobs or additional investments were attached to Monday's announcement at its plants in Alliston, Ont. The company announced an $857-million plant expansion in November, with a 10-per-cent contribution from the provincial government. Government loans and union concessions have become part of the negotiations to secure future investments and jobs. GM's Oshawa plants employ 4,100 people directly, including 3,600 unionized workers, the union said, and thousands of other people indirectly in auto parts and services. Up to 24,000 jobs would be lost immediately if those plants closed, the report for Unifor predicts. Eventually employment would partially rebound, but at lower wages, even for workers not directly employed in the auto industry, the report says. Soaring vehicles sales in North America have fuelled a number of new investments in Ontario auto plants. Earlier this year, federal Transport Minister Lisa Raitt delivered a $50.7-million loan to Linamar, a Guelph, Ont., auto parts manufacturer, alongside Ontario Premier Kathleen Wynne, who committed $50.25 million. GM has announced it would invest $560 million in its CAMI assembly plant in Ingersoll, Ont. Fiat Chrysler Automobiles has committed $2 billion to retooling its Windsor assembly plant. Ford Canada has invested $700 million in its Oakville assembly facility. Ottawa and Ontario each contributed $70 million. Overall, Canadian auto industry production climbed slightly, to 2.38 million vehicles in 2014, as strong North American sales kept most plants running full tilt. But Canada's share of North American production continued to fall, to 14.1 per cent. In the previous four years, Canada had received just $2.5 billion in new auto industry investment, while Mexico got $20 billion, according to the Center for Automotive Research in Ann Arbor, Mich. © 2015 Torstar Corporation Illustration: • A Camaro gets a smudge buffed out on the assembly line at GM's Oshawa assembly plant in Oshawa. STEVE RUSSELL/TORONTO STAR Edition: ONT Length: 630 words Return to top Union sounds warning on 33,000 jobs The London Free Press Tue Mar 31 2015 Page: B2 Section: News Byline: ANTONELLA ARTUSO , QMI QUEEN'S PARK BUREAU CHIEF general motors noted on Tue Mar 31 2015 5:59 am ET Also in The Peterborough Examiner, The St. Catharines Standard , The Toronto Sun, The Niagara Falls Review. TORONTO -- Ontario is at risk of losing up to 33,000 jobs within two years of any shutdown of the Oshawa GM complex, says a study released by the union that represents autoworkers. Unifor National President Jerry Dias said governments must directly invest in the auto sector to keep the industry alive in Canada. "Oshawa won't survive unless both the federal and provincial governments are prepared to play," Dias said Monday. "There is no successful auto industry anywhere in the world that is successful in isolation of government. Governments need to play a leadership role." The study, Economic Impact of GM Operations in Oshawa, estimates Ontario would lose 22,000 to 24,000 jobs immediately and up to 33,000 jobs during two years if GM shutters its operations. Dias said anyone who dismisses investment in the auto industry as corporate welfare doesn't understand the economic benefits. Oshawa GM boosts the country's GDP by $5 billion a year, directly and through spin-off economic activity, and a $1 billion investment by governments would likely keep it open for at least a couple more decades, he said. "It's called economic suicide not to participate and that's what the study shows," Dias said. The future of GM in Oshawa is believed to be in doubt beyond 2016 unless the company commits to the production of a new product. Ontario Economic Development Minister Brad Duguid said his government is interested in partnering with the federal government to keep GM in Oshawa. "I'm very hopeful," Duguid said. "I can tell you right now getting that future mandate for GM Oshawa is our No. 1priority. " It's too soon to discuss how much the Ontario government would be prepared to put into GM, he said. Dias said both the provincial and federal governments have been willing to talk investment with GM. © 2015 Sun Media Corporation. All rights reserved. Illustration: • QMI AGENCY FILE PHOTO • Without government investment, GM's Oshawa plant could close costing 33,000 jobs, the union warns Edition: Final Length: 294 words Return to top 77 victims' families from faulty GM switches to get compensation Windsor Star Tue Mar 31 2015 Page: B1 / Front Section: News Dateline: DETROIT Source: The Associated Press general motors noted on Tue Mar 31 2015 5:57 am ET Also in Montreal Gazette. Families of at least 77 people killed in crashes caused by defective General Motors ignition switches will get compensation from the company. Attorney Kenneth Feinberg, who was hired by GM to compensate victims, updated the total Monday. It was up from 74 last week. An additional 141 injured people also are eligible for compensation. The fund received a total of 4,342 claims by the Jan. 31 deadline. Of those, 1,263 are still under review. Feinberg says more than half are ineligible or lack documentation. GM knew about problem switches in Chevrolet Cobalts and other small cars for more than a decade but recalled them only last year. They can slip out of the "on" position, which cuts off the engine, knocks out power steering and turns off airbags. © 2015 Postmedia Network Inc. All rights reserved. Edition: Early Story Type: News Length: 122 words Return to top Investing in auto industry benefits all Woodstock Sentinel-Review Tue Mar 31 2015 Page: A4 Section: Editorial/Opinion Byline: MIKE VAN BOEKEL The auto industry has brought many benefits to our local communities and to Canada as a whole.
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