GM Oshawa Plant Closure Could Lead To Job Losses At Parts Suppliers
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Canadian labor union Unifor says the closure of the GM Oshawa Plant could lead to more job losses at nearby parts manufacturing plants.
GM announced last year that it would close the Oshawa plant at the end of 2019, putting more than 2,500 people out of work. According to Automotive News Canada, the GM Oshawa Plant will begin to wind down production of the Cadillac XTS and Chevrolet Impala sedans in September before the line shuts down indefinitely before the year’s end.
The closure won’t just affect those directly employed at the GM Oshawa Plant, Unifor said. In a news release published this week, the labor union said workers at suppliers and other third-party companies that provide services at the plant (such as security and hospitality companies) will lose their jobs as well. As many as 1,700 people could lose their jobs in the parts sector alone.
Unifor also called in the employers to provide affected workers with adequate severance.
GM plans to convert Oshawa Assembly into a parts production facility once the line stops later this year. That conversion, which represents an investment of $170 million CAD will save about 300 jobs at the plant. GM is also building a new advanced vehicle test track on the site of the plant, expanding its already significant research and development presence in southern Ontario.
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