TORONTO — Chrysler Corp. and union negotiators agreed Thursday on a new contract that could send some of the company's 10,000 striking workers back to the assembly lines by the weekend and head off more layoffs at U.S. plants.
The Canadian Auto Workers union announced the proposed settlement shortly after meeting with the company, whose Canadian workers walked off the job at four assembly and parts plants in Ontario province when their two-year contract expired at midnight Monday.
Chrysler's Canadian subsidiary said some employees could return to work by late Sunday if the tentative three-year labor pact is ratified at weekend meetings by the rank and file.
Pact Will Cover 85 Plants
Announcement of the Canadian agreement came as the United Auto Workers union and Ford Motor Co. reached a tentative agreement in Dearborn, Mich., on a three-year contract providing about 104,000 U.S. hourly workers with higher wages and more job security.