The Canadian Auto Workers has voted to ratify a new collective agreement with Ford Motor Co., which is expected to be matched also by Chrysler LLC and General Motors Corp..

The around 9.000 CAW members that are working for Ford in Oakville, Windsor, St. Thomas and Bramalea voted in an overwhelming majority of 78 percent in favor of the new three- year contract on Sunday.

"This agreement is a victory for our members," said CAW President Buzz Hargrove. "It takes care of current workers and retirees while recognizing the challenges facing the industry. And it doesn't do this on the backs of future workers either, with any sort of two-tier structure."

According to the union, the unexpected deal, which was reached months before CAW's national auto contracts expire in September, will maintain Ford’s labor costs at approximately the same level as in the present.

"Our members see first hand how unfair trade, a high Canadian dollar and soaring oil prices are all impacting their job security and understand better than anyone that these issues must be dealt with," said Mike Vince, chair of the CAW-Ford Master
Bargaining Committee and president of CAW Local 200.

Under the new agreement, the wages will remain at the same value as before and cuts vacation pay, but instead does not offer any possibility that the base wages would be lowered. Also, it prevents a two-tier wage system that is used in the United States in the contract with the united Auto Workers, conforming to which the new employees would have a much lower salary than the older ones. Thus, the new hires would start work at a 70 percent of the higher wage and would be able to reach the maximum within three years.

"We've done our job by negotiating a responsible and pragmatic agreement and we will continue to keep the heat on the federal government to address the problems that are eroding the auto industry today," said Hargrove.

Negotiations with GM are set to start on Monday, while the talks with Chrysler are due to begin on Tuesday.