WINGHAM, ON—Unifor won a historic arbitration award totalling approximately $15 million for nearly 200 union members who worked at Wescast Industries Inc., ending a nearly two-year severance and termination pay dispute between the company and the union.
“We simply cannot overstate the scale or importance of this victory—it is one of the largest and most significant wins for our members who deserve our deepest gratitude for their courage and persistence in this nearly two-year long fight,” said Unifor National President Lana Payne. “Our union was more than happy to give Wescast and its overseas owners a $15 million lesson in workers’ rights. This outcome will set an important precedent for future disputes and send a strong message to any employer that tries to circumvent our collective agreements or labour laws: our solidarity will always be stronger than your greed.”
The arbitrator ruled that Wescast clearly violated its obligations to pay workers enhanced severance and termination pay as outlined in the collective agreement as well as under the province’s Employment Standards Act. The arbitration ruling is valued at an estimated $15 million to be paid to approximately 200 former Wescast workers and includes interest penalties.
“This ruling affirms what we have said all along, that Wescast blatantly violated the collective agreement in addition to Ontario labour law, and that our union would not stop until every worker is paid what that they are owed, plus interest,” said Unifor Ontario Regional Director Samia Hashi. “This victory clearly shows why workers join our union in the first place. Being a Unifor member means having the ability to stand up to corporations that will stop at nothing to circumvent basic labour laws and violate your rights no matter how many years of loyalty and hard work you’ve put in to your job.”
Wescast Industries operated a casting plant for more than a century in Wingham, Ontario until its overseas owner, Bohong Industries Group in China, decided to shut down in 2023. Approximately 200 Unifor Local 4207 members were employed at the plant which primarily cast vehicle engine manifolds for major customers including Ford, GM, Volvo and others. Wescast is a household name in Wingham with its workforce having been largely multi-generational and the town’s community centre bearing the company’s name.
“Although it was heartbreaking to be treated so disrespectfully by this company and see our basic rights trampled on, in the end it was heartening to see all of us united like never before,” said Unifor Local 4207 Plant Chair Joel Sutton. “I am proud that our legacy as Wescast workers is that we stood up for ourselves, took this fight head-on, and won a significant victory that not only benefits us, but all workers across Canada.”
For nearly two years, the union’s membership, elected representatives and numerous staff engaged in significant efforts to hold Wescast and its owners accountable. Those efforts included putting significant public pressure on the company by repeatedly publicly condemning the company’s actions, holding a mass rally for workers in Wingham, writing letters to the Premier of Ontario and Minister of Labour, bringing Wescast workers to directly lobby the Government of Ontario, in addition to the union’s direct legal, bargaining and membership mobilization work.