Fiat Chrysler has agreed to invest $245 million ($325 million CDN) to overhaul the paint shop at its Brampton, Ontario facility as part of its new tentative agreement with Canadian labor union Unifor.
The Brampton plant was a major focus of the negotiations between FCA and Unifor. The union was pushing for FCA to perform a complete overhaul of the facility’s aging paint shop, which would secure jobs there well into the future.
FCA not only agreed to invest in the paint shop at its Brampton site, but committed to investing in the nearby Toronto Stamping plant as well. The deal also includes wage increases for existing employees and new hires, along with yearly bonuses over four years totalling $12,000.
Unifor president Gerry Dias was pleased with the way the negotiations went, as securing investment at the Brampton site was the union’s focus heading into the negotiations Monday.
“What we’ve wanted for years is a paint shop,” Dias told Automotive News in an interview. “Our paint shop is one of the oldest within the entire Fiat Chrysler chain. Starting with a complete rebuild in 2017, it will be the newest paint shop within their family.”
Improvements to the paint shop should begin in the summer of 2017. The Brampton site currently builds the Dodge Charger and Chrysler 300 sedans and the Dodge Challenger. FCA’s Windsor site had been floated as the production site of the next-gen Charger and 300, but with the paint shop investment, Brampton looks in line receive the next-gen versions of the mid-size four doors.