TORONTO, (Feb. 24, 2003) — Workers at the Sterling Truck plant in St. Thomas, Ont. hit the picket lines in the early hours of Friday morning when Sterling’s parent company DaimlerChrysler refused to back off a demand for new escalating employee payments for health benefit coverage.

“We told them we’re not going down the road of escalating co-payments,” Canadian Auto Workers Union assistant to the president Bob Chernecki said in a press release. “We’re not even demanding any major benefit changes. In fact, we believe a restructuring of the benefit program with a different carrier will save the company significant administrative costs, let alone premium costs, but they’re stuck on shifting the costs to workers.”

Richard Laverty, chairperson of the bargaining committee added that the company already has a $5 cost advantage on health care coverage over its American plants.

Contract talks have been underway since January and the workers voted 88 per cent in favour of strike action. The other remaining key issues include wages and time off the job.