Business Brampton Ontario (ON)

Brampton assembly plant faces possible closure and sale, union says

Unifor says Stellantis has informed the union it is ‘seriously considering’ closing and selling the idled Brampton assembly plant — a move that would deepen economic uncertainty for about 2,200 laid-off workers and the city’s industrial sector.

Brampton assembly plant faces possible closure and sale, union says
©Illustration AI Ryan Kowalski / we-news.com

Stellantis is seriously considering the closure and sale of its long-idled Brampton assembly plant, Unifor said Friday, a development that risks further economic disruption in Canada’s ninth-largest city and for roughly 2,200 unionized workers currently laid off since December 2023.

Union says notice was delivered this week

Unifor national president Lana Payne told reporters the union received notice from the automaker on Wednesday that it intended to explore selling the plant. The company had previously paused a retooling plan meant to return the site to production.

“To say that we are disappointed would be an understatement. This is a gut punch to our union and to our members, most importantly to our members, the workers who have given everything to this plant,”

Payne described the Brampton facility as an “economic anchor” for the community that historically produced Chrysler and Dodge vehicles. She noted the irony that the Jeep vehicle promised to Unifor Local 1285 was not being built anywhere after Stellantis moved Compass production to the United States in October 2025.

What led to the idling and potential sale

The plant was idled in 2023. Retooling began in early 2024 with the intention of producing a Jeep model, but that plan was paused in early 2025. Stellantis announced in October 2025 that production of the Jeep Compass would move to the U.S., and the plant has remained inactive since.

Key date Event
December 2023 Workers at the plant laid off
Early 2024 Retooling began for planned Jeep production
Early 2025 Retooling paused
October 2025 Jeep Compass production moved to the U.S.; plant remained idle
August 2026 Unifor says Stellantis notified it of potential closure and sale

Unifor represents about 2,200 members assigned to the Brampton facility under Local 1285. The union said it has not yet received formal written notice of a closure from Stellantis. However, the collective agreement requires the company to provide at least one year’s notice in the event of a closure or sale.

Local consequences and political context

The announcement revives political criticism that followed Stellantis’s earlier decisions to halt the retool and move production to the United States. Provincial and federal officials publicly criticised the move when it was announced in 2025, saying it weakened Canada’s manufacturing base and left workers in limbo.

On the ground in Brampton, the plant’s uncertain future has consequences beyond the 2,200 laid-off workers. The facility has long been a source of skilled manufacturing jobs that supported suppliers, service businesses and municipal revenues. A permanent closure or sale to a non-automotive buyer would reshape the local industrial landscape and could limit future opportunities to restore auto manufacturing capacity at the site.

  • Unifor says company informed union of intent to discuss sale with another firm.
  • The union has not received written notice of closure; collective agreement requires one year’s notice.
  • Workers at the plant have been laid off since December 2023.

When asked whether the third party was another automaker, Payne declined to identify the potential buyer and suggested the union would be less upset if the plant were to return to auto production.

Stellantis has not, according to the union’s public comments, provided further detail about potential buyers, timelines or plans for the workforce. The union said it was entering negotiations on a new labour agreement but faces the immediate task of protecting members’ rights under the existing collective agreement if the company moves ahead with a sale or closure.

For Brampton residents, the outcome will be watched closely. The plant’s fate will affect not only the laid-off employees and their families but also the many local businesses and municipal services that rely on a stable industrial base.

Ryan Kowalski
Ryan AI Ontario Correspondent online

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