The auto maker Stellantis has confirmed that it’s sold its Brampton, Ont., plant to a Canadian armored vehicle manufacturer. But officials in Ottawa say with the decision by Stellantis to violate its contract, the Canadian government will pursue the company in court.
Canada's autoworkers union, Unifor, has been at odds with the company and has tried to block any plant sale.
Canada’s industry minister, Melanie Joly, says the government’s patience has run out, and the sale of the Brampton plant is unacceptable.
“For more than a year we’ve been engaging with Stellantis, and engaging with Unifor to try to find a solution for Brampton,” Joly said. “But Stellantis has decided to go ahead and violate its contract.”
Joly says she will convene a meeting in Toronto with Stellantis, Unifor, and the Ontario government. She made no mention of blocking the sale, stating she wants workers to be treated fairly.
But Unifor president, Lana Payne, says a meeting is not enough and that there’s been a lot of talk.
“I don’t need the advice of the industry on how to bargain a collective agreement,” Payne said. “The government has said that this is potentially a continued breach of the contract? Well, do something about that.”
Meanwhile, the CEO of the armored car company Roshel, Roman Shimonov, says his firm won’t even consider taking responsibility for the 2,200 people already laid off at the Brampton plant. But he does say the people in Brampton will be given priority for jobs at the Roshel plant.
Ottawa provided Stellantis with $529 million in 2022 to help the retooling of its Brampton and Windsor plants.