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   Vol. 68/No. 30           August 17, 2004  
 
 
Ontario steelworkers strike tire plant
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BY MICHEL DUGRÉ  
KITCHENER, Ontario—More than 1,000 members of United Steelworkers of America (USWA) Local 677, employed by B.F. Goodrich, have been on strike since June 1 at its tire plant here about 60 miles west of Toronto. Goodrich is owned by Michelin, the world’s largest tire manufacturer. Michelin has three other tire plants in Canada, none of which are unionized.

The company is demanding a reduction in labor costs of up to 15 percent. All new employees would be hired at 68 percent of the current wage rates. They would reach their maximum wage after 18 months, at 85 percent of current wages. The company plans to establish a new service operation unit, including warehouse workers, with wages about a third lower than those of other employees. It plans to cut health benefits, demanding, for example, that workers start paying 10 percent of the cost of medical insurance.

Some 94 percent of workers voted to go on strike against these concession demands.

The bosses claim that the survival of the plant is in question. “We recognize that some elements of our settlement offer will be difficult for Kitchener employees,” the company said in a recent statement. “However, changes must be made to make the plant competitive and improve its viability.”

No significant production is taking place in the plant now. Few trucks, some empty, are running in and out of the facility.

On one day recently, two truck drivers from the same company came by the plant a few minutes from each other. Strikers tried to convince them not to cross the picket line. “My rig cost me $80,000,” one of the truck drivers replied. “How do you think I’m going to pay for that?” The other asked where he could turn around, which he did to the applause of all strikers.

On June 19, one driver from the Challenger truck company hit three strikers on the picket line.

The Michelin tire empire, based in France, is demanding that all its plants worldwide reduce their production costs by 15 percent. Tire manufacturers have been trying to cut costs complaining that increased raw material prices such as oil and rubber don’t leave them enough profit margins.

Paul Shrum, vice president of the 1,000-member USWA Local 677, said that Michelin has implied that if the union doesn’t accept concessions then “investment in the plant would be in jeopardy.” Shrum added that the Kitchener plant is as competitive as any other Michelin plant in North America and that Michelin has the added benefit in Canada of “public medicare and a lower Canadian dollar for U.S. exports.”

Other unions have lent their support to the strikers. A United Food and Commercial Workers union local in the area gave food to strikers. The local teachers’ union has also backed the strike.

About 10 percent of the workforce at the struck plant are women. All were hired since the imposition by the company of a two-tier six years ago.

Scott Cowsill, union steward of the striking local, said there is strong solidarity and workers are anticipating a prolonged fight. “We’re a united family and we’re going to stick it out,” he said. “Everybody is in for the long haul.”

Michelin has won its reputation among trade unionists in Canada of being staunchly anti-union by successfully resisting, with governmental support, decades-long efforts by the labor movement to organize its three plants in Nova Scotia.

Union members said all supporters are welcome to visit their picket line at 131 Goodrich Drive, Kitchener, Ontario; Tel.: (519) 894-7912; E-mail: uswa677@golden.net  
 
 
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