GM, Unifor reach tentative deal to build electric delivery vans in Ontario

GM Canada says it has reached a tentative deal withUniforthat, if ratified, will see it invest $1 billion to transform its CAMI plant in Ingersoll, Ont., to make commercial electric vehicles.

Unifornational president Jerry Dias saidalong with the significant investment, the agreement between the company and union will mean new products, new jobs and job security for workers.

In a statement, Dias said that more details of the tentative deal will be presented toUniforLocal 88 members at an online ratification meeting scheduled for Sunday.

He saidthe results of the ratification vote are scheduled to be released on Monday.

Details of the agreement were not released Friday night, but the Ontario government issued a statement on Saturday praising the deal as "good news."

"Uniforand General Motors have worked together to reach a tentative deal that will further strengthen Ontario's world-class auto sector for its workers, their familiesand the communities they live in," a joint statement from Premier Doug Ford and Economic Development Minister Vic Fedelisaid.

FedEx lined up to buy electric delivery vans

A GM spokespersonsaidin a statement that the plan is to build BrightDrop EV 600s an all-new GM business announced this week at the Consumer Electronics Show that will offer a cleaner way for delivery and logistics companies to move goods more efficiently. The growth of online shopping has increased demand for electric vans.

BrightDrop's first customer is FedEx, which will begin receiving GM's EV600 electric vans later this year.

The Ingersollplant currentlymakes Chevrolet Equinox SUVs.

Uniforsaid the contract wouldbring total investment negotiated by the union to nearly $6 billion after new agreements were ratified with General Motors, Ford and Fiat Chrysler in 2020 that included support from the federal and Ontario governments.

It said the Ford deal reached in September included $1.95 billion to bring battery electric vehicle production to Oakville, Ont., and a new engine derivative to Windsor, Ont., whilethe Fiat Chrysler agreement included more than $1.5 billion to build plug-in hybrid vehicles and battery electric vehicles.

Uniforsaid in November that General Motors agreed to a $1.3 billion investment to bring 1,700 jobs to Oshawa, Ont., plus more than $109 million to insource new transmission work for the Corvette and support continued V8 engine production in St. Catharines, Ont.