General Motors Canada president Travis Hester, left, and Unifor union national president Jerry Dias shake hands during a press conference, Wednesday, May 8, 2019, in Toronto, where GM announced they are investing in its Oshawa, Ontario, plant to transition the facility from manufacturing vehicles to stamping, sub-assembly and autonomous vehicle testing. (Cole Burston/The Canadian Press via AP) General Motors will spend $170 million to transform its Oshawa Assembly Plant into a stamping and after-market parts facility, extending the life of the historic plant and preserving 300 jobs. The investment, announced by the presidents of GM Canada and Unifor in Toronto on Wednesday morning, will also be used to convert 55-acres of the property into a test track for autonomous and advanced vehicles, an area that GM has increasingly been focusing on. “This new business will retain 300 Oshawa jobs, with the intent to grow and generate significant additional jobs in the coming years as the business attracts new customers,” GM Canada president Travis Hester said during the news conference. But the $170 million plan, dubbed a “Transformation Agreement”, falls short of saving the approximately 2,300 remaining unionized jobs that will be lost when vehicle assembly production ceases at the plant in December. Jerry Dias, president of the the union Unifor, said that while he was upset about the job losses and concerned for the community of Oshawa, the new plan is “innovative” and “makes the best out of a bad situation.” “We knew right from the beginning that this wasn’t going to be easy, that we were going to be in an uphill battle,” Dias said. “The fact that we are going to maintain the integrity of manufacturing for the long-term is critically important ... What GM is doing here today is they are making a long-term commitment to Oshawa.” GM Canada’s announcement today is good news for our auto workers in Oshawa. I’d like to congratulate & thank @JerryPDias for his tireless efforts to protect these jobs. There’s more work to do to support our workers, and we will never stop fighting for them & their families. — Justin Trudeau (@JustinTrudeau) May 8, 2019 Our government welcomes the agreement between @GMcanada & @UniforTheUnion to maintain 300 good jobs at General Motors Oshawa. https://t.co/KsPH5W9Pqk — Doug Ford (@fordnation) May 8, 2019 GM had announced in November that it would halt production at its Oshawa, Ont. plant and four other North American factories, cutting thousands of jobs as part of a global restructuring plan and an increased focus on electric vehicles. Story continues The Oshawa Assembly plant produces the Chevrolet Impala and Cadillac XTS, and its second line was recently repurposed as part of a $500 million investment to begin finishing production of GM’s popular GMC Sierra and Chevrolet Silverado trucks. The $170 million investment – all of which will come from GM – will be used to support a transition from vehicle assembly production to stamping, sub-assembly and other miscellaneous activities for GM and its customers. Vehicle assembly production will still end at the plant in December. Since the decision to halt production was announced, Unifor had embarked on an aggressive public relations campaign aimed at reversing GM’s decision. The campaign featured anti-GM ads that aired during the Super Bowl, Grammy Awards, Academy Awards and various NHL games. It also included a boycott urging Canadians to avoid purchasing Mexican-made GM vehicles. The campaign was suspended in March while the union and GM held discussions. For months, Dias had also been pushing for GM to allocate a different vehicle – ideally, a popular truck or a sports utility vehicle – to the Oshawa facility. On Wednesday, he said he “had to be realistic” and recognize that the company was not going to do that. “These are the realities. They don’t have a vehicle for Oshawa. So the question became, ‘What the hell do we do?’” Dias said in an interview. Dias hopes that keeping the Oshawa plant open, albeit with fewer jobs and a new purpose, will help attract new investment opportunities and jobs going forward. “We’re going to make sure we maintain the complete integrity of the manufacturing plant, which is huge,” he said. “In the interim, we put into place an after-market centre for GM vehicles, which is also huge when you think about the incredibly potential and possibilities.” By leaving the plant open, GM is also leaving the door open for future opportunities, said Flavio Volpe, president of the Automotive Parts Manufacturers Association. “The best news would have been a reversal of the November decision,” Volpe said. “The second best news is what we have here today, which is that the company remains committed to the area, and there is a future potential for a rethink.” GM also said it would offer special relocations for Oshawa employees at some of its other Ontario production locations, as well as offering “enhanced retirement packages” for eligible employees. The automaker will also open a “Jobs Action Centre” in June, aimed at helping employees find employment opportunities. Download the Yahoo Finance app, available for Apple and Android.<doc-sep>General Motors Canada says it will invest $170 million in its Oshawa, Ont., plant to transition the facility from manufacturing vehicles to stamping, sub-assembly and autonomous vehicle testing. GM Canada president Travis Hester says the move will save 300 of 2,600 union jobs at the plant. Hester made the announcement this morning in Toronto alongside Unifor national president Jerry Dias at a news conference. He said the transformed plant will have the potential to grow and attract more jobs as the facility attracts new customers. GM announced last November it would cease production at the plant by the end of 2019, affecting about 2,600 workers. Hester told reporters that the Oshawa site will still end vehicle production at the end of 2019, but 22 hectares of the facility will be converted into a test track for autonomous and other advanced vehicles, which Hester said will help expand the nearby Canadian Technical Centre. Unifor national president Jerry Dias called the agreement 'innovative' and a partial victory but admitted it was far from a perfect solution. Union says agreement far from perfect Dias, whose union suspended a media campaign against GM in March amid what it called productive talks with the automaker, called the agreement "innovative" and a partial victory but admitted it was far from a perfect solution. Dias had repeatedly vowed to fight to keep the plant open. He called it a "deeply personal" announcement, noting his niece and nephew work for GM in Oshawa, while his father lives in the town and his mother is buried there. "I'll see you Sunday," Dias said, pausing briefly during an emotional speech. The union said the company had been clear it wouldn't extend vehicle manufacturing in Oshawa beyond the end of the year, but acknowledged there is potential to transform operations to maintain some jobs. GM Canada to set up jobs action centre A joint statement from GM Canada and Unifor said the company will offer relocations to other facilities in Ontario for those affected, as well as "enhanced retirement packages" to eligible employees. GM Canada president Travis Hester says 300 of the approximately 2,600 union jobs at the Oshawa plant will be saved. (Eduardo Lima/Canadian Press) The statement said GM will also establish a jobs action centre in June in Oshawa to help employees plan for their future. The centre will receive support from GM, Unifor and the Ontario government and it will match employee skills with requirements from new employers. Many workers still face 'uncertain future' Todd Smith, Ontario's minister of economic development, job creation and trade, said in a statement on Wednesday that the announcement is good news for Oshawa and the Durham Region. "We are glad this historic site will continue to be a hub for vehicle parts manufacturing, technological innovation and regional economic growth," Smith said. "While this agreement is a positive development, many workers still face an uncertain future as the plant scales down. Our government is there for those workers and their families," he added. Smith said the province's rapid re-employment training service will provide support to workers who are going to lose their jobs.<doc-sep>Share this Story: WARMINGTON: Mixed reaction to GM investment in Oshawa plant WARMINGTON: Mixed reaction to GM investment in Oshawa plant Article content OSHAWA — Good news story or bad? This created a heated debate on the streets of Canada’s motor city Wednesday. We apologize, but this video has failed to load. tap here to see other videos from our team. Try refreshing your browser, or WARMINGTON: Mixed reaction to GM investment in Oshawa plant Back to video Whatever your view, instead of closing things down, General Motors will invest $170 million to create 300 new jobs in a new business model that will replace the 2,600 jobs that will be lost in the plant’s closure. Glass half full or half empty? “Both,” said Unifor national president Jerry Dias. He would have preferred to have joined GM Canada president Travis Hester in announcing a new line of car to built at the historic plant instead of the last car to come off the line at the end of this year. “But I know this business well enough to know a new car does not just fall out of the sky,” said Dias. We apologize, but this video has failed to load. tap here to see other videos from our team. Try refreshing your browser, or On the upside, however, if one ever does — Oshawa’s plant won’t be shut down forever but instead transformed into something new. “We look at this as a start of something new to keep a footprint in Oshawa,” said Dias. Advertisement Story continues below This advertisement has not loaded yet, but your article continues below. Article content “In the years to come there will be many more jobs than the 300 but we know there have been many sleepless nights over the people who will be losing their jobs.” Hester was clear on the point that GM has no immediate plans to manufacture cars in Oshawa. “GM plans to be one of Oshawa’s leading companies and employers for many decades to come,” Hester told media at the Marriott Hotel Wednesday. “We’re now not going to be a vehicle manufacturing facility, but one which will transition into parts and innovation.” Innovations like driverless cars that will be experimented with at a soon-to-be-built 22-hectare test track. Hester said the “aftermarket parts” business could see companies like Magna or Martinrea Automotive Systems use their stamping or painting operations. Advertisement Story continues below This advertisement has not loaded yet, but your article continues below. Article content Oshawa Mayor Dan Carter understood the two ways of looking at it, but chose to see it as a good day. “We think the investment and forward thinking aligns well with what’s happening at the Ontario Tech University and Durham College,” said Carter. “We appreciate the history of General Motors in Oshawa and are also excited for the future.” More On This Topic Sting to GM regarding Oshawa: "You can't just walk away." WARMINGTON: Glimmer of hope emerging for Oshawa GM workers As much as there are many who loathed to admit it, it’s unlikely any of this would have happened without Dias’s determination. Dogged and sometimes belligerent, but in war mode, he shamed General Motors to find a way to save some jobs. He didn’t care who he offended. Premier Doug Ford was one he lambasted. GM President in Detroit Mary Barra too. Advertisement Story continues below This advertisement has not loaded yet, but your article continues below. Article content He even lead a boycott campaign encouraging the Canadians who purchase 300,000 General Motors cars a year to stop. Dias also criticized GM for participating in “slave labour” at plants in Mexico which he called “corporate greed, plain and simple.” On Wednesday, he told the Sun he needed to do all of that “because I knew if we didn’t fight we would get nothing at all.” What he did get was received by mix reviews at the plant gate. Some workers said they were “sold out” and encouraged people to buy import cars. Others said it was better than turning off the lights for good. “It’s just to save face,” said Jeremy Dwyer, a soon-to-be unemployed 17-year plant veteran. “This is not going to save our jobs.” But a 35-year worker named Mike said “I think saving 300 jobs is a positive thing and somewhere to grow from.” Dias said both members are right. jwarmington@postmedia.com We apologize, but this video has failed to load. tap here to see other videos from our team. Try refreshing your browser, or Share this article in your social network Latest National Stories Advertisement Story continues below This advertisement has not loaded yet, but your article continues below. The Toronto Sun Headline News Sign up to receive daily headline news from the Toronto SUN, a division of Postmedia Network Inc. Email Address There was an error, please provide a valid email address. By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc. 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Send this page to someone via email TORONTO – The union representing Canadian auto workers claimed a partial victory Tuesday after General Motors Canada announced an Oshawa, Ont., plant slated to close later this year will be converted to a part-stamping and autonomous vehicle testing facility. Unifor and GM Canada said the transition will cost $170 million and save 300 of the 2,600 union jobs at the plant, with the potential to attract more jobs as the facility attracts new customers. GM Canada president Travis Hester, who announced the so-called “Transformation Agreement” alongside Unifor national president Jerry Dias, said the Oshawa site will still end vehicle production at the end of 2019. However, 22 hectares of the facility will be converted into a test track for autonomous and other advanced vehicles, which Hester said will help expand the nearby Canadian Technical Centre. Story continues below advertisement “I want to send a strong and positive message from GM to the people of Oshawa,” he said. “With our Canadian headquarters, our sales and marketing organization, the OnStar support centre, the Oshawa engineering centre, and the new announcements just mentioned here, GM plans to be one of Oshawa’s leading companies and employers for many decades to come.” Dias, whose union suspended a media campaign against GM in March amid what it called productive talks with the automaker, called the agreement “innovative” but admitted it was far from a perfect solution. “What I do know is you play the cards you’re dealt and you make the best out of a bad situation,” he said. “I will suggest that instead of us facing a hard closure in December of this year … we have an understanding between the parties of a long-term commitment.” Tweet This Click to share quote on Twitter: "What I do know is you play the cards you're dealt and you make the best out of a bad situation," he said. "I will suggest that instead of us facing a hard closure in December of this year … we have an understanding between the parties of a long-term commitment." WATCH: Oshawa GM plant to remain open, but smaller. Sean O’Shea reports. 1:49 Oshawa GM plant to remain open, but smaller Oshawa GM plant to remain open, but smaller – May 8, 2019 Dias said the agreement will help keep the company in Oshawa over the next decade. Story continues below advertisement “This announcement, though it may not have a lot of jobs as we sit here today in May, there’s going to be a heck of a lot more in December,” he said. “There’ll be more next year. There’ll be more the year after as we continue to attract work.” A joint statement from GM Canada and Unifor said the company will offer relocations to other facilities in Ontario for those affected, as well as “enhanced retirement packages” to 1,300 eligible employees. WATCH: Unifor president says GM changes both ‘success and failure’ 1:10 Unifor president says GM changes both ‘success and failure’ Unifor president says GM changes both ‘success and failure’ – May 8, 2019 Industry observers said the automaker’s decision to repurpose the Oshawa plant could mark a turning point for the auto sector in Canada. “GM has a real strong R&D centre in Oshawa and another one in Markham working on autonomous and electric vehicle issues,” said auto industry analyst Dennis Desrosiers. “Putting a test track in gives those jobs more security … but also potentially a real possibility of more jobs on the intellectual side of the industry.” Story continues below advertisement Federal Economic Development Minister Navdeep Bains said the government is encouraged by the announcement. “Just yesterday, Oshawa’s autoworkers were facing a completely uncertain future,” he said in a statement. “Today, GM has committed to providing work for hundreds of them at the plant and to supporting the others, and we want to see it through.” WATCH: Economic Development Minister Navdeep Bains says GM announcement ‘encouraging news’ 1:30 Bains says GM announcement ‘encouraging news’ Bains says GM announcement ‘encouraging news’ – May 8, 2019 Ontario Economic Development Minister Todd Smith said in a statement that the province welcomes the agreement, calling it good news for the City of Oshawa and the surrounding region. “We are glad this historic site will continue to be a hub for vehicle parts manufacturing, technological innovation and regional economic growth,” Smith said.