Ford set to lay off 1,500 workers in Canada in 2011

Ford Motor Co. Canada is set to close down operations at its St. Thomas, Ontario facility next year, leaving an additional 1,500 autoworkers without jobs. The company employs around 6,000 workers at assembly facilities in Oakville and St. Thomas, two engine plants in Windsor and parts distribution centers in Brampton, Ontario and Edmonton.

A day earlier, General Motors Canada announced the closure of its transmission plant in what is known as Canada’s Motor City after 91 years of operation. About 500 workers will be affected by the plant’s shutdown. The GM facility in 1550 Kildare Road, built transmissions for famed GM products, the Pontiac G5 and the Chevy Cobalt.

In a statement, Windsor Mayor Eddie Francis said “I and the members of Windsor City Council are deeply concerned over the well being of those whose employments are terminated as a result. We pledge to continue our programs of diversifying our economy and to support efforts to retrain and re-employ the outstanding workforce which GM has assembled over the years.”

The Mayor added, “We value General Motors’ many contributions to our city and we are also most thankful for the willing and countless community involvements of the company’s employees. Both have made Windsor a far better place.”

For his part, the plant’s senior human resources administrator, Dan Garneau, said, “After today, there will be no more GM in Windsor and that’s an unfortunate situation.” He adds, “But it’s the reality of the auto industry in North America, so we have got to really just go on with our lives.”

In May 2008, GM eliminated 1,400 jobs in Windsor and also announced its plan of closing down the transmission plant at the end of this month. General Motors still has facilities in Oshawa, Ingersoll and St. Catharines, Ontario.

In 2009, the federal government of Canada and the Ontario government invested a total of $10.1 billion in GM Canada to help the automaker survive the economic downturn. On the other hand, Ford is the only one of the Big Three US automakers able to avoid bankruptcy and government bailouts but had to endure deep cuts in pay and benefits.

Ford is expected to close one of its three Canadian facilities in 2011 but has pledged to keep 10 percent of its North American production in Canada.