Unifor reaches tentative contract agreement with Ford Canada for 5,150 workers
The agreement includes significant wage increases and capital investments for Ford facilities, serving as a pattern for talks with General Motors and Stellantis.
Unifor, the union representing a significant portion of Canada’s automotive workforce, has reached a tentative three-year collective agreement with Ford Motor Company. The contract covers 5,150 workers across facilities including the Oakville Assembly Complex, the Essex Engine Plant, the Windsor Annex, and parts distribution centers in Paris, Casselman, and Leduc.
The agreement, which received the unanimous endorsement of the Unifor Ford Master Bargaining Committee, serves as a pivotal "pattern" for the union’s upcoming negotiations with General Motors and Stellantis. Unifor leadership intentionally selected Ford as the first negotiation partner, seeking to establish a benchmark that would provide security for the remaining Detroit Three automakers before current contracts expire at 11:59 p.m. On September 20, 2026.
The terms revealed on July 18, 2026, include notable wage growth and benefits. Under the proposal, production employees will see base wages rise to more than $50 an hour by the third year, while skilled trades workers will reach base wages exceeding $62 an hour. The deal incorporates an immediate cost-of-living adjustment (COLA) of $1.42 an hour, followed by a 3% annual wage increase over the life of the contract. Additionally, the agreement provides a $10,000 lump sum bonus for qualified full-time employees and a $2,000 one-time bonus prior to the 2026 holiday season.
Job security remains a centerpiece of the agreement, with Ford pledging to avoid plant closures or sales during the term of the contract. The manufacturer has also committed to significant capital investments, including $500 million for the Windsor Operations to support engine and machining capacity at the Essex Engine Plant, and $400 million to retool the Oakville Assembly Complex for new stamping operations and the production of F-Series Super Duty pickups. For workers at the Oakville facility currently on indefinite layoff, the contract provides a $10,000 special payment.
The negotiations began on June 22, 2026. Unifor National President Lana Payne described the atmosphere as a challenging time for domestic industry.
"Securing this tentative agreement comes at a vital time for Canada’s auto workers and our domestic industry. Every member of our bargaining committee came to the table resolved to reach a fair deal that protects good union jobs in the most challenging of economic times."
Lana Payne, Unifor National President, via Unifor
The union’s bargaining committee chair, John D’Agnolo, noted the importance of recognizing the labor performed on the shop floor.
"Our members put in the work on the shop floor every day, and our entire negotiating team made sure that work was recognized at the bargaining table."
John D’Agnolo, Unifor Ford Master Bargaining Chair, via Unifor
Voting on the tentative agreement is taking place through July 19, 2026, with the union expecting to release the results of the ratification vote by late afternoon or early evening. If the membership approves the terms, Unifor will shift its focus to General Motors and Stellantis, aiming to finalize those deals before the September expiration date. Should the Ford agreement be ratified, it will also trigger increases in retirement benefits, with the Defined Benefit Pension Monthly Basic Benefit Rate set to rise by $3 starting January 1, 2027.
