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Hauler Disturbs Chrysler's Canadian Operations

Just as the Canadian branch of Chrysler is getting ready to celebrate 27 years of success for its minivans in the country north of the US, the minivans themselves are beginning to pile up outside the Windsor assembly plant.

The reason is the decision made last week by the main transporter for Chrysler and GM in Canada, Allied Systems Holdings, not to provide its services to the two auto makers. (Chrysler seems to have momentarily solved the shipping problem by calling the dealers to its plant to pick up 500 minivans themselves; the action was disguised as an anniversary parade in honor of the Dodge Grand Caravan and Chrysler Town & Country).

At the bottom of this new problem for the two American auto makers lies the decision which was to be made by Allied to cut the pay by 20 percent for the 2,500 US and Canadian workers represented by the Teamsters union.

After the Teamsters fought back and threatened to strike, the company decided to cut its losses by increasing the fees for the auto makers it provides its services to. GM and Chrysler refused the increased rates. GM managed to solve the problem in a short time, but Chrysler got stuck in negotiations with Ally.

"Chrysler can only move so many cars and park so many cars before they have an issue," Rick Laporte, president of Canadian Auto Workers Union Local 444 was quoted as saying by Autonews. "If it isn’t resolved within in a certain length of time, I would suggest there is a possibility there to shut the Windsor Assembly plant down."
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About the author: Daniel Patrascu
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Daniel loves writing (or so he claims), and he uses this skill to offer readers a "behind the scenes" look at the automotive industry. He also enjoys talking about space exploration and robots, because in his view the only way forward for humanity is away from this planet, in metal bodies.
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