GM Layoffs: Automaker Furloughs 1,200 Canadian Workers Amid UAW Strike

Amid the Union Auto Workers (UAW) strike with General Motors (GM), the company is laying off 1,200 employees at its assembly plant in Oshawa, Ontario, Canada, CNBC reported.

GM Canada confirmed the news to the news outlet on Wednesday, citing a slowdown at the automaker’s plants in the U.S. The layoffs are reportedly temporary, but the company did not provide details on how long the workers would be furloughed.

The 1,200 workers laid off in Canada will reportedly receive layoff benefits as part of their agreement with Unifor – the Canadian trade union.

According to CNBC, the GM Canada had to cut its pickup truck production in half because it can’t procure the necessary components for assembly from the U.S. plants, which have been shut down due to the UAW strike.

GM Canada’s Oshawa plant builds the Chevy Silverado and GMC Sierra pickup trucks, Chevy Impala and Cadillac XTS sedan. GM Canada told the news outlet that the company’s full-size pickup trucks are the vehicles being impacted by the plant shutdowns and UAW strike. All other Canadian operations remain unaffected, but the company is continuing to “monitor the situation,” then news outlet said.

This is the first strike for GM since 2007. On Monday, about 48,000 GM workers walked off the job. General Motors and the UAW were unable to reach an agreement by the Saturday night deadline. Negotiations have resumed and are ongoing. A deal has not been reached by either party.

Shares of GM stock were up 0.12 percent as of 12:14 p.m. ET on Thursday.