Press conference: CAW Negotiates Monies for Plastech Workers' Severance

August 11, 2008, 2:51 PM EST

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Former automotive parts workers at Plastech, represented by CAW Local 1769, will receive partial severance pay following a press conference on Tuesday, August 12. The union was successful in negotiating the monies, totaling $500,000, from Chrysler during the last round of bargaining with the Big Three automakers.

In attendance will be former Plastech workers, national and local CAW leadership and the chair of the CAW-Chrysler bargaining committee Ken Lewenza, also a candidate for the position of CAW National President.

Press conference:

Tuesday, August 11, 2008 at 10 a.m.
CAW Plastech Job Action Centre
County Fair Mall
250 Erie Street South
Leamington, ON

Since Plastech officially closed its doors on May 16 due to bankruptcy, the workers have not received any severance pay. Under current bankruptcy law, employees (regardless of years of service) are considered unsecured creditors and are therefore last to be paid, after banks and other creditors. The negotiated funds are only a portion of what is owed to the 300 workers employed at the time of closure.

The Leamington plant produced plastic automotive fascias, rocker panels and other exterior parts for the Big Three automakers, including Chrysler's Windsor and Brampton assembly facilities.

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