Fiat Chrysler reaches deal with Canadian labor union

The union representing Canada's auto workers said Tuesday it has reached a deal with Fiat Chrysler that avoids a labor disruption at the company's Canadian assembly plants.

The collective agreement, which would apply to Canada's 10,000 unionized Fiat Chrysler workers, was concluded late Monday and includes concessions for new investments in the country, similar to those offered by General Motors in September talks with the Unifor union.

As part of the deal, Fiat Chrysler will invest further capital in two of its three plants in Ontario province that assemble its Chrysler 300, Dodge Caravan and Pacifica. However the exact monetary figure was not announced.

Workers will also receive a small wage hike, and a signing bonus.

The four-year agreement must still be ratified by Fiat Chrysler's unionized Canadian workers at a vote on Sunday, before Unifor's negotiating team turns its focus to Ford.