The labor union representing employees at General Motors has announced that its members have overwhelmingly approved new contracts with the automaker. Unifor and GM reached tentative labor agreements on August 22 for over 4,600 auto workers in Ontario, with union members voting on the contracts over the weekend.

According to a news release from the union on Sunday, the three-year collective agreements include wage increases for full-rate production workers to $50.20 per hour and skilled trades workers to $62.71 per hour. Votes from members in Oshawa, St. Catharines, and Woodstock showed an 80.5% approval, while Ingersoll members supported the agreements by 96.5%.

Negotiations between Unifor and GM commenced after an agreement was reached with Ford earlier in the month. Unifor highlighted that the agreements with GM align with the three-percent annual wage increases agreed upon with Ford. Unifor National President Lana Payne emphasized that these agreements secure over $1 billion in investments for Canadian GM facilities.

GM Canada President and Managing Director Jack Uppal expressed satisfaction with the ratification, noting that it supports employees, enhances manufacturing operations, and lays a solid foundation for GM’s future in Canada. Despite challenges like the idled production at the CAMI Assembly Plant in Ingersoll, Unifor vowed to continue advocating for production resumption at the plant, designated as the primary consideration for Canadian Armed Forces defense work by GM.

The ratified deal includes a renewal of the cost-of-living allowance, a $10,000 productivity and quality bonus for eligible members, and a $2,000 December bonus for qualifying employees. Trevor Longpre, Unifor’s General Motors bargaining chairperson, highlighted the progress made in securing stable auto jobs and reinforcing the Canadian auto industry.

The agreement comes amid a backdrop of trade tensions, with Canada’s auto sector facing challenges from U.S. tariffs on vehicles. The fate of Canadian auto plants has become a pivotal issue in the stalled U.S.-Canada trade negotiations, with uncertainty surrounding the future of duties on medium and heavy-duty vehicles crucial for Canadian factories. U.S. automakers were hopeful that the talks would alleviate the impact of tariffs on their operations.