An eight-week at a Bombardier plant that builds TTC streetcars, subways and GO trains is over with a three-year deal.
Striking Bombardier rail workers in Thunder Bay who make streetcars, subways and trains for the Greater Toronto Area have voted to settle their eight-week strike against the company.
Their union, Unifor Local 1075, was claiming victory in the dispute, saying the new three-year deal maintains the plant’s defined pension plan for current and new hires. New hires will contribute 25 cents an hour to the plan.
“This has been a difficult summer for these workers, but they can return to work knowing that they have stood up for future generations,” Unifor National President Jerry Dias said in a statement.
The union, which represents 900 hourly workers at the plant, released the results of the vote Friday at 11.30 a.m.
“The company came to the bargaining table with a long list of concessions that would hit the next generation of workers very hard,” union local president Dominic Pasqualino said.
The union said Bombardier had demanded that the defined benefit pension plan be denied to new hires and that retiree benefits be denied to anyone hired after Dec. 31, 2010. That cut would have hit almost 500 workers at the plant, the union said. Both demands were defeated.
Bombardier had said it needed the reductions to remain competitive.
In a separate statement Friday, Bombardier said it believes the deal is fair to both parties.
“We believe this new agreement continues to provide for good jobs in Thunder Bay while meeting the needs of the company for more cost efficiencies moving forward,” spokesperson Stephanie Ash said in a statement.
The company said it expects to see the employees back to work within two weeks.
Wages at the plant will remain stable for the first year of the contract, with raises of 10 cents an hour in each of the two following years, plus cost of living adjustments, the union said.
The labour disruption came at a critical time for the Toronto Transit Commission as it prepared to launch its new fleet of streetcars, two of which went into service on the Spadina line on Aug. 31.
The TTC declined to comment on the tentative deal Thursday.
The plant also has orders for light rapid transit vehicles for Metrolinx and Kitchener-Waterloo, and the Toronto Rocket, Toronto’s next generation of subway cars, as well as the green and white bi-level cars for the GO commuter train service.
Bombardier spokesperson Marc-Andre Lefebvre has said in previous interviews the company was committed to meeting all of its obligations to customers.
The strike began July 14.
Last month, the workers rejected a “last offer” from the company by 80 per cent in a vote ordered by the Ontario Ministry of Labour after an application from Bombardier.
Talks between the union and the company resumed Tuesday, Sept. 9.
Unifor is Canada’s largest union in the private sector, representing more than 305,000 workers.