Canadian Auto Workers Gear Up for Possible Strike

--CAW to ask locals this week to prepare for strike action

--Little progress being made in talks, CAW says

--Labor pacts expire Sept. 17

TORONTO--The big three U.S. automakers could face a simultaneous work stoppage in Canada after the main Canadian union said Wednesday that it will ask local unions to gear up for possible strike actions as little progress has so far been made in reaching new labor contracts.

In an in-plant leaflet circulated in the auto makers' Canadian facilities Wednesday, the Canadian Auto Workers said it will ask local unions this week to form strike committees and start preparations for strike actions against Ford Motor Co. (F), General Motors Co. (GM) and Fiat SpA-owned Chrysler Group LLC (C.XX).

"It is our hope and intention to reach an agreement with at least one of the three companies before the deadline," the CAW said. "We must be prepared though to shut down operations at all three, should we be unable to reach an agreement."

The CAW said it's taking a "different approach" by not immediately announcing a target company, with the goal of moving talks along with all three companies.

All three collective bargaining agreements with the CAW expire on Sept. 17. Detailed talks began two weeks ago.

The companies "have been uniformly clear -- anything that adds costs will have to be paid for by savings elsewhere in the agreement," the CAW said in the leaflet, adding that there's "little doubt" the auto makers are acting in concert.

"None of the three companies have demonstrated that they are serious about reaching an agreement," the CAW said. "The corporations are refusing to add any costs whatsoever -- instead, they insist on cutting costs from our existing agreements."

The union also expressed frustration that the three companies "fail to recognize the sacrifices our members' made during the recent economic crisis.

The auto makers weren't immediately available to comment.

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