VIDEO Nemak Announces Closure of Windsor Casting Plant
The Nemak aluminium casting plant in west Windsor is closing next year.
The Mexican-based company issued a release on Tueday saying the 270 workers at the facility will be without a job by about mid-2020.
Louise Gaudette is the Human Resources Manager for Nemak Canada.
She says a product that was being shipped to General Motors in China is the key reason.
"The decision really was the result of an early phase out of a program, of a block that we send to China," says Gaudette. "They've pulled ahead a program and they've also decided to in source it so the volumes we had expected had not materialized this year."
AM800 News has learned the program was with GM Shanghai and sales of vehicles that use a 2L engine block made at Nemak have dropped 75% in that country.
Unifor Local 200 President John D'Agnolo says the membership have worked with the company.
"We opened up the contract to get these programs," says D'Agnolo. "Our contract was frozen until 2022 to keep that work here in Windsor and now we get an announcement that's closing in the middle of 2020 and that's unacceptable. So we're going to do what it takes to keep that site open."
Gaudette says the volume at the plant has been on the downslide for some time.
"We had slowed production over a period of time and we also have a new product whose volume has been reduced by 50%, says Gaudette. "So those two things alone have meant that an expected capacity of around 65% will reduce to about 10%."
D'Agnolo says it's a devastating day for the union and membership.
"Seeing the workers broke my heart to be quite frank with you, really have no words," says D'Agnolo. "They put their heart and soul into that plant and to see that announcement come through is devastating."
Gaudette expects to have information sessions with the 200 or so Unifor members in the coming weeks to discuss things like buyout packages and severance. She does not see much possibility of a new product for the Windsor plant down the road.