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Electro-Motive locks out employees

Staff Writer

Published: Monday, January 9, 2012

Updated: Tuesday, January 10, 2012 12:01

Lock out

Ringing in the new year in London, ON, locomotive plant Electro-Motive locked-out 420 CAW members after new contract talks collapsed on Jan. 1. The plant was bought back in 2010 by Caterpillar's (CAT) subsidiary Progress Rail as part of a 820 million dollar deal.

The previous contract with the Canada Automotive Worker Union (CAW) members had previously held with the locomotive expired on Dec. 31. New contract talks ended in a final offer from Caterpillar that would cut wages and benefits of the workers in half and eliminate pensions. Reports show that for most employees this cut would mean a lowering in hourly wages from $34 per-hour to $16.50 per-hour – over a 50 per cent pay cut.

Though CAW London was declined to comment, CAW President Ken Lewenza wrote in a statement that corporate greed was at fault for the lock-out, and that this is a serious attack on working people and their families in London.

"Caterpillar may be one of the richest corporations to ask for the deepest of cuts," said Lewenza's statement.

The CAW is asking that the Federal Government release the terms and conditions made during the 2010 purchase of Electro-Motive by Caterpillar. Caterpillar said in a statement that the collective agreement reached by Electro-Motive and CAW Local 27 expired on Dec. 31, however new terms have yet to be agreed upon. Caterpillar has said that CAW members will be barred from the train manufacturing plant until a ratified contract has been agreed upon.

CAW said in their statement that employees had planned on returning to work on their first scheduled shift after the holiday shut down. Lewenza said that though there was a 97 per cent vote in favour of striking if necessary, CAW members had hoped that a strike could have been averted.

Premier Dalton McGuinty, in a statement, urged both sides to moderate and come up with a solution, even offering a government provided mediator. The federal Conservatives have declined comment on the issue, and Caterpillar was likewise unavailable.

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1 comments

Anonymous
Tue Jan 10 2012 20:08
The loss of so many good paying jobs does not only hurt the employees; it also hurts their families, the community, and the economy. No-one benefits from these actions except for the corporate directors and shareholders. In reality, it will hurt most of us because if Caterpillar Inc. is successful, other corporations will follow its lead. My job, or your job, may be targeted next.

It will be very difficult for the workers at the Electro-Motive plant to win this fight on their own. With billions of dollars in profits, Caterpillar Inc. is well positioned to break the union and destroy the lives of its workers. The Electro-Motive plant workers need our help.

Concerned citizen can help by boycotting Caterpillar Inc. Protestors can picket Caterpillar dealers. Unionized workers can refuse to operate Caterpillar equipment. Managers can decide to purchase or lease equipment from other companies. The outrageous actions of Caterpillar Inc. have to become a public relations disaster for the company.

It is time to Occupy Caterpillar!







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