- Ford Motor Company Canada Unifor Labor Agreement 2026 boosts employee compensation.
- New contract secures jobs and expands manufacturing investments.
The Ford Motor Company and the Unifor labor union have officially approved a new three-year collective agreement in Canada following ratification on July 19, 2026. The agreement becomes effective on September 21, 2026, and remains in force until September 19, 2029. It introduces annual wage improvements, bonus payments, job security commitments, and significant manufacturing investments aimed at supporting employees while strengthening Ford's long-term production operations across its Canadian facilities.
Employee Compensation and Agreement Highlights
Under the newly ratified agreement, employees will receive a general wage increase of 3% each year throughout the three-year contract period. In addition, the Cost of Living Allowance (COLA) adjustment program will continue during the agreement, helping wages respond to changes in living costs. Eligible Unifor members will also receive a CAD 10,000 productivity and quality bonus together with a CAD 2,000 December bonus during the first year, providing additional financial support alongside the scheduled salary increases.
Key Benefits Under the New Collective Agreement
| Provision | Details |
|---|---|
| Agreement Duration | September 21, 2026 – September 19, 2029 |
| Annual Wage Increase | 3% each year |
| COLA | Renewed for agreement duration |
| Productivity & Quality Bonus | CAD 10,000 (eligible members) |
| December Bonus | CAD 2,000 (first year) |
Job Security and Manufacturing Investments
The agreement also reinforces employment stability through the renewal of a no-closure commitment covering all Ford facilities in Canada, together with several program commitments. Alongside these workforce protections, Ford has committed substantial capital investments to strengthen its manufacturing footprint. The company plans to invest USD 500 million during the life of the agreement for facility upgrades and tooling at its Windsor operations. In addition, Ford will invest USD 400 million in the Oakville Assembly Complex to support future Super Duty truck production, reinforcing its manufacturing capabilities in Canada.
Investment Commitments by Ford in Canada
| Location | Investment | Purpose |
|---|---|---|
| Windsor Facilities | USD 500 million | Facility and tooling investments |
| Oakville Assembly Complex | USD 400 million | Support Super Duty truck production |
Frequently Asked Questions
When does the new Ford and Unifor collective agreement take effect?
The newly ratified collective agreement between Ford Motor Company and Unifor becomes effective on September 21, 2026, and will remain valid until September 19, 2029. During this period, eligible employees will receive annual wage increases, Cost of Living Allowance adjustments, specified bonus payments, and protections under a renewed no-closure agreement. The contract also includes major investment commitments for manufacturing facilities in Windsor and the Oakville Assembly Complex.
What investments has Ford committed under the new agreement?
Ford has committed to investing USD 900 million across its Canadian manufacturing operations during the life of the agreement. This includes USD 500 million for facility and tooling improvements at its Windsor plants and USD 400 million for the Oakville Assembly Complex to support Super Duty truck production. These investments are intended to strengthen manufacturing capabilities while supporting long-term production and employment in Canada.
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