The Globe and Mail reports in its Wednesday, Sept. 18, edition that layoffs in the Ontario auto-parts sector have begun, as talks continue to end a strike by 49,000 General Motors Co. auto workers in the United States. The Globe's Eric Atkins writes that the United Auto Workers has shut down more than 50 assembly plants and warehouses in nine states.
GM and the UAW resumed talks on Tuesday in a bid to end the automaker's first U.S. strike since 2007. GM, which has about 7,000 employees in Canada and operates three major factories in Ontario, continued to run its assembly lines on Tuesday. But "there is more risk to there being an impact the longer the strike continues," said GM Canada spokesman Jennifer Wright.
The interconnected nature of the North American auto industry means a shutdown in the United States will quickly lead to a lack of supply or demand for parts or vehicles at other plants, including those in Canada and Mexico.
Ms. Wright said any shutdown of an Ontario plant would swiftly affect Ontario's auto-parts sector. The province's auto-parts companies, including Magna International, Linamar and Martinrea International, employ 100,000 people and export $18-billion in components to the U.S. a year.
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