MonTREAL – The Canadian Auto Workers unio and Rio Tinto Alcan agreed to an early renewal of labour contracts at their aluminum smelter in Saguenay, Quebec.

The new agreement will be extended through 2018 and includes a clause for a potential further extension to 2022.

This agreement has been made possible by the willingness of both parties to find mutually beneficial solutions to their respective issues.

“It is a particularly important milestone for Arvida Works, our 80-year-old aluminum smelter, which faces numerous challenges. This demonstrates our ability to work together for everyones benefit, said Étienne Jacques, chief operating officer, Rio Tinto Alcan Primary metal North America.

The agreement will ensure a smooth and progressive transition between the shutdown of Arvida Works and the potential subsequent phases of the Arvida Aluminium Smelter, AP60 Technology Centre.

The new agreement replaces the labour contracts that were slated to end in 2014, and includes all facilities tied to the Jonquière Complex.