General Motors will keep an Oshawa, Ontario, assembly line open two years longer than planned, because of strong sales of the Chevrolet Equinox and Impala.
The company said it now would close the line in 2016, canceling a previous plan to finish production in June 2014.
The extension comes after J.D. Power & Associates gave both vehicles high marks for quality.
“This was great news to wake up to this morning,” said Jerry Dias, president of Unifor, formerly known as the Canadian Auto Workers union, in a statement. “It is a testament to what we’ve been saying about this plant all along — that the skills and efficiency of the workers at the plant make it worth keeping open.”
Union executives suggested that the decision could result in GM keeping production going indefinitely at the plant near Toronto, which employs about 650 people.
“By maintaining production over the next few years, we have a chance to bring in another product and keep the plant open longer,” said Ron Svajlenko, president of Unifor Local 222, in a statement.
The original decision to close the production line came during contract talks last year, when GM executives lamented that Canada was the most expensive country in the world for producing cars.
But the automaker eventually agreed to a deal that preserved most GM jobs in Canada. The Oshawa plant’s flex line, which is not closing, makes the Chevrolet Camaro and submodels the Buick Regal and the Cadillac XTS, although production of the next-generation Camaro is expected to shift to Lansing after 2015.
Article SOURCE: this factual content has not been modified from the source. This content is syndicated news that can be used for your research, and we hope that it can help your productivity. This content is strictly for educational purposes and is not made for any kind of commercial purposes of this blog.