Automotive company Stellantis has announced a preliminary agreement with Canadian armored vehicle manufacturer Roshel regarding a potential transaction involving its dormant Brampton, Ontario, plant. Simultaneously, the labor union representing Canadian employees at Stellantis has halted contract discussions, citing a deadlock concerning the future of the Brampton facility.
Trevor Longley, Stellantis Canada’s Chairman, President, and CEO, stated that the company explored various options for the plant, which has been inactive since 2023. Longley expressed that Stellantis views Roshel as a viable opportunity to revive sustainable operations at the Brampton Assembly, safeguarding its crucial role in Canada’s advanced manufacturing sector and preventing an extended period of inactivity.
Unifor is currently assessing next steps and has promised to provide additional information in the upcoming days. The existing collective agreement between Stellantis and the union is due to expire on September 20 at 11:59 p.m. Contract discussions commenced on September 1 in Toronto after Unifor successfully negotiated new collective agreements with Ford Motor Co. and General Motors in Canada earlier in the summer as part of its pattern bargaining strategy with each of the Detroit Three automakers.
The union had set a deadline of September 11 to reach a new agreement with Stellantis, but negotiations broke down after ten days. According to Unifor spokesperson Kathleen O’Keefe, the company’s persistent proposal to shut down and sell the Brampton plant has impeded the bargaining process. O’Keefe emphasized the negative impact of the proposed closure and sale on Unifor members’ wages, pensions, benefits, and the broader industrial sector in Canada, particularly in Ontario and the Brampton community.
More than 2,000 employees were laid off when operations ceased at the Brampton plant in 2023. Last month, the union was informed that Stellantis was contemplating closing and selling the plant, which was initially designated for Jeep production before the plan was paused in early 2025, leading to the indefinite idling of the facility.
In a statement, Roshel’s CEO, Roman Shimonov, assured that the displaced Brampton workers would receive priority consideration for positions at the plant. Shimonov outlined Roshel’s strategic plan to establish a Canadian Centre of Excellence for Defense Manufacturing in Brampton alongside its current automotive manufacturing operations. He pledged to grant laid-off Unifor employees first dibs on jobs and intends to bring them back to work by 2026 through various government procurement programs and other opportunities in the automotive and defense sectors.
Brampton Mayor Patrick Brown expressed disappointment over the potential sale, highlighting the prolonged uncertainty faced by workers. He criticized Stellantis for what he perceived as a breach of commitments made to the community and workers. Brown urged the federal government to hold Stellantis accountable and demanded transparency from Roshel regarding job prospects and investment timelines. He emphasized the importance of providing answers and a future for Brampton workers at the local plant.
Additionally, Unifor highlighted the lack of confirmed plans for Stellantis’ Windsor assembly plant and Etobicoke casting plant. The union stressed the necessity of resolving issues at the Brampton plant before finalizing any agreements, reiterating this stance to both the company and government officials.
James Stewart, president of Unifor Local 444, explained in a video statement that the union’s bargaining priorities with Stellantis were unmet, leading to a temporary pause in negotiations. Stewart disclosed that the company intends to divest the Brampton plant to a third party, prompting the union to reassess its options and plan the next course of action. The union has not set a definitive deadline for further discussions.