Stellantis Sells Windsor Battery Plant Stake: What NextStar Workers Need to Know (Feb 2026)

On February 6, 2026, Stellantis sold its 49% stake in NextStar Energy—the Windsor battery plant joint venture—to LG Energy Solution. The $5 billion facility currently employs 1,100+ workers, with plans to reach 2,500 at full production. LG confirmed Stellantis remains a customer and no layoffs are announced, but the plant’s November 2025 strategic pivot to grid storage systems creates uncertainty about the hiring timeline for the remaining 1,400 positions. If you’re a NextStar worker carrying debt, here’s what you need to know about protecting your income and when to explore debt relief options.

What Happened: Stellantis Exits Windsor Battery Plant

Stellantis and LG Energy Solution established the NextStar Energy joint venture in 2022 with a combined investment exceeding $5 billion CAD. The facility began producing battery modules in October 2024 and started mass production in November 2025. At that time, the plant employed 1,000 workers and shifted its strategic focus to include energy storage systems (ESS) for grid applications alongside traditional EV batteries.

The ownership change transfers Stellantis’s 49% stake entirely to LG Energy Solution, making LG the sole owner. Financial terms of the sale remain undisclosed. Both companies emphasized the transaction is a “strategic decision” and that Stellantis will continue purchasing batteries from the Windsor facility for its electric vehicle lineup.

NextStar CEO Danies Lee stated in November 2025 that the company has “no timeline” for hiring the additional 1,400 workers needed to reach the 2,500-employee target. The hiring uncertainty stems from the plant’s pivot toward ESS production, which requires different production volumes and workforce planning than pure EV battery manufacturing. This creates a planning challenge for Windsor workers who expected the facility to become the region’s largest battery employer by 2027.

What This Means for NextStar’s 1,100+ Workers

Your job is not in immediate jeopardy. LG Energy Solution confirmed the ownership transition affects neither current operations nor the existing workforce. Stellantis committed to remaining a customer, which secures near-term production volume for EV battery modules.

Here’s the catch: the lack of a hiring timeline signals potential production strategy shifts. When NextStar announced its ESS pivot in November 2025, analysts noted grid storage projects operate on longer development cycles than automotive contracts. This means the plant reaches full capacity more slowly than originally projected, which doesn’t threaten existing jobs but creates income uncertainty for Windsor’s broader economy.

Compare this to Stellantis Windsor Assembly Plant, a separate facility that builds vehicles. That plant employs 4,500+ workers and added 1,500 third-shift positions in December 2025. The assembly plant’s expansion demonstrates Stellantis’s continued Windsor commitment, but the battery plant’s ownership change shifts NextStar’s strategic priorities away from pure automotive focus.

The risk is indirect. If you’re carrying $15,000+ in debt with a mortgage renewing this year, ownership uncertainty complicates financial planning even without layoff risk. You’re balancing stable current employment against unclear growth trajectory.

Take Rajesh from Tecumseh, a quality control technician at NextStar. He relocated from Brampton for the battery plant job in early 2024, expecting career growth as the facility scaled to 2,500 workers. He’s got $28,000 in credit card debt from the move and higher Windsor housing costs. His job is secure, but the hiring freeze for senior positions means his promotional timeline just became unpredictable. He’s exploring a consumer proposal now rather than waiting because his mortgage renews in August and his debt-to-income ratio affects his renewal rate.

Most people overlook this: ownership changes don’t trigger Employment Insurance eligibility or severance entitlements. You need an actual layoff for those protections. What you can control is your debt load and cash runway during periods of sector uncertainty.

Windsor’s EV Sector Concentration Risk

Windsor built its economic future on becoming Canada’s battery manufacturing hub. NextStar represents the country’s first large-scale EV battery plant, with the facility projected to generate 10,000 spin-off jobs across the supply chain at full capacity. The city’s auto sector recovery since 2020 depends heavily on EV transition investments like NextStar.

The reality is that Windsor now faces concentration risk. The Stellantis exit from NextStar ownership comes as Ontario manufacturing navigates multiple headwinds: federal public service cuts eliminating 16,000 jobs nationally, EV demand slowdown in North American markets, and Honda’s delayed EV investments in the province. When your city’s growth depends on one emerging sector, ownership changes at flagship facilities create ripple effects.

Windsor Assembly Plant’s expansion to 4,500+ workers provides some diversification, but that facility builds traditional and hybrid vehicles—exactly the segment facing long-term decline as emissions regulations tighten. NextStar’s battery production represents Windsor’s future, which makes this ownership transition economically significant beyond the 1,100 current employees.

Ancillary workers feel this most acutely. Nearly 200 construction contractors working for Sylvan Canada were laid off from the NextStar site in June 2025 as facility construction completed. Those weren’t NextStar employees, but the layoffs demonstrated how quickly peripheral employment contracts when project phases end. If you’re a supplier, contractor, or service provider dependent on NextStar growth, this ownership change warrants closer financial planning than if you’re a direct employee.

Windsor’s Battery Boost program has trained 400+ residents for NextStar jobs, but trainees face an unclear hiring pipeline. If you borrowed money for retraining or relocated in anticipation of battery sector jobs, the hiring timeline uncertainty affects your debt servicing capacity.

When to Consider Debt Relief as a Battery Plant Worker

Your decision to explore debt relief options depends on three factors: current payment status, emergency fund depth, and upcoming financial obligations. Here’s the framework NextStar workers should use.

Monitor Only — Your situation:

• All debt payments current with no late payments in past 12 months
• Emergency fund covering 6+ months essential expenses
• No major financial obligations (mortgage renewal, vehicle replacement) in next 12 months
• Job secure with no performance concerns

Action: Set quarterly budget reviews and maintain emergency fund. Use this hiring timeline uncertainty as motivation to build cash reserves rather than reduce debt principal aggressively.

Precautionary Review — Your situation:

• Carrying $20,000+ in unsecured debt (credit cards, lines of credit, personal loans)
• Emergency fund covers less than 3 months expenses
• Mortgage renewing in 2026 or vehicle loan ending soon
• Making minimum payments but not reducing principal balances

Action: Use a consumer proposal calculator to model debt elimination scenarios. If a proposal saves $400+ monthly, book a consultation with a Licensed Insolvency Trustee before your mortgage renewal. Lenders assess debt-to-income ratio during renewals—reducing your debt load now improves your negotiating position even if your job remains secure.

Consider Consumer Proposal — Your situation:

• Behind on 2+ debt payments or receiving creditor calls
• Using credit to pay living expenses
• Facing wage garnishment threat or court proceedings
• Debt payments exceed 40% of gross monthly income

Action: Book a Licensed Insolvency Trustee consultation within 10 business days. A consumer proposal stops all creditor collection activity immediately, eliminates 60–70% of unsecured debt, and prevents wage garnishment under the Bankruptcy and Insolvency Act. You keep your job, your vehicle, and your house while negotiating a payment plan you can afford.

Here’s what this looks like in practice. Stephanie from Leamington works in NextStar’s production department, earning $62,000 annually. She’s got $41,000 in mixed debt: $23,000 across three credit cards at 21–24% interest, $12,000 line of credit at prime + 4%, and $6,000 on a furniture financing plan. Her monthly minimums total $1,180. She’s current on payments but has 6 weeks of savings.

Stephanie used the consumer proposal calculator and discovered she could settle her $41,000 debt for approximately $14,000 paid over 48 months ($292/month). That’s $888 monthly savings versus her current minimums. Even though her NextStar job is stable, the ownership uncertainty made her realize she’s one unexpected expense away from falling behind. She filed the proposal in January, and her creditors accepted in February. Now she’s building her emergency fund with the $888 monthly difference.

The mistake to avoid: waiting until you’re in crisis to explore options. Licensed Insolvency Trustees assess your situation for free, and you’re not obligated to file anything. Most people who book consultations during uncertain employment periods walk away with a budget plan and relief that they have options if circumstances change.

Use our consumer proposal calculator to see how much you could save on debt payments. Get a personalized estimate in 60 seconds—no credit check required.

How Ontario Wage Garnishment Protection Works

If your debt situation deteriorates and creditors obtain court judgments against you, Ontario provides the strongest wage garnishment protection in Canada. Understanding these limits helps you assess your risk and plan accordingly.

Ontario protects 80% of your net wages from garnishment. This means creditors can take a maximum of 20% of your take-home pay after taxes, CPP, and EI deductions. If you earn $4,000 monthly net, creditors can garnish up to $800. You keep the remaining $3,200 regardless of your debt amount.

Here’s what most NextStar workers don’t realize: these protections have exceptions. Family support garnishments (child support, spousal support) can reach 50% of your net wages even in Ontario under the Family Responsibility and Support Arrears Enforcement Act. Canada Revenue Agency can also garnish up to 50% of your wages for tax debt regardless of provincial limits.

Courts have discretion to increase exemptions based on financial hardship. If 20% garnishment prevents you from affording rent and groceries, you can apply to reduce the garnishment amount. Judges consider your essential living expenses, dependents, and overall financial situation. This process requires court filings and typically benefits from legal representation.

The practical reality: wage garnishment damages your employment relationship even when legal. Your employer’s payroll department processes the garnishment order, which means your financial problems become visible to HR and management. While terminating employment due to garnishment is illegal under Ontario’s Employment Standards Act, most people find the situation stressful and humiliating.

Consumer proposals stop wage garnishment immediately. Once you file with a Licensed Insolvency Trustee, the Bankruptcy and Insolvency Act imposes an automatic stay of proceedings that prevents creditors from continuing or starting garnishment actions. If you’re already being garnished, the order stops within 5-7 business days of filing. Your employer receives notification that the garnishment has been superseded by federal insolvency proceedings.

Marcus from Windsor faced garnishment after defaulting on a $31,000 line of credit. His creditor obtained judgment and started garnishing 20% of his $3,800 monthly net income—$760 per month. Between remaining debt payments and the garnishment, he couldn’t cover rent. He filed a consumer proposal offering $11,000 over 60 months ($183/month). The garnishment stopped within 6 days, and his creditors accepted the proposal. He kept his NextStar job without HR involvement beyond the initial garnishment notification and the subsequent stop notice.

Facing wage garnishment or creditor calls? Find a Licensed Insolvency Trustee in Windsor to discuss your options and stop collections immediately.

Next Steps for NextStar Employees

Your immediate priority is distinguishing between things you control and things you don’t. You don’t control NextStar’s hiring timeline, LG’s strategic priorities, or Stellantis’s EV production volumes. You do control your debt load, emergency fund, and financial planning.

Start with a monthly budget review. Track essential expenses (housing, transportation, utilities, groceries) separately from discretionary spending and debt payments. Calculate how many months you could survive on savings if your income disappeared tomorrow. Most financial advisors recommend 6 months for stable employment and 9-12 months for sectors experiencing uncertainty.

Monitor NextStar announcements through official channels. The company posts updates on production milestones and workforce plans. If you’re represented by Unifor Local 444, stay connected with union communications about the ownership transition. Invest WindsorEssex maintains a job board with regional employment opportunities if you’re exploring backup options.

Review your debts by interest rate and payment flexibility. Credit cards at 21% interest cost you substantially more than lines of credit at prime + 2%. If you’re prioritizing debt reduction, focus on highest-rate balances first. If you’re building emergency funds, make minimums on everything and bank the difference until you hit 6 months coverage.

If you have a mortgage renewing in 2026, contact your lender now rather than waiting for the automatic renewal notice. Lenders assess debt-to-income ratio and employment stability during renewals. Having 6+ months of stable NextStar employment and a clear debt reduction plan strengthens your negotiating position for rate and terms. If your debt-to-income ratio exceeds 42%, seriously consider the consumer proposal route before your renewal date—it dramatically improves your ratio within 60 days of filing.

Use the consumer proposal calculator if you’re carrying $15,000+ unsecured debt. The calculator models settlement scenarios based on your income, debt amount, and assets. You’ll get a realistic estimate of what creditors might accept without obligation. Most people are surprised to learn their $35,000 debt could settle for $12,000-$14,000 over 4-5 years.

Book a Licensed Insolvency Trustee consultation if you’re behind on any payments, receiving collection calls, or feeling financially underwater. LITs are federally regulated professionals—the only debt advisors authorized to file consumer proposals and bankruptcies under the Bankruptcy and Insolvency Act. Initial consultations are free and confidential. You’ll meet for 45-60 minutes to review your debts, income, assets, and options. There’s no pressure to file anything, and you’ll leave with a clear understanding of your choices.

The Windsor LIT community understands auto sector employment. They’ve guided thousands of workers through similar situations during past automotive downturns. They know the difference between temporary uncertainty and genuine financial crisis, and they’ll tell you honestly whether you need debt relief now or just better budgeting.

Here’s what happens in a typical consultation. You bring recent pay stubs, a list of all debts with balances and creditors, and your monthly expense breakdown. The LIT reviews everything, calculates your surplus income, and models three scenarios: do nothing, consumer proposal, or bankruptcy. They explain eligibility, costs, impacts on credit, and timeline. Most people leave with either a consumer proposal recommendation or a budget plan to follow for 6 months before reassessing.

The key is acting before you’re in crisis. Exploring options during stable employment gives you choices. Waiting until you’re three months behind with creditors threatening legal action leaves you reacting instead of planning.

If you’re a NextStar worker concerned about debt during this ownership transition, book a free consultation with a Licensed Insolvency Trustee. Get expert guidance on consumer proposals, wage protection, and debt relief options specific to Ontario manufacturing workers.

The Stellantis sale of NextStar doesn’t threaten your job today, but it changes Windsor’s economic trajectory and your personal financial planning timeline. Take the uncertainty as a signal to strengthen your financial position now rather than hoping everything works out. You’ve got Canada’s strongest wage protection and access to debt relief tools that eliminate 60-70% of what you owe. Use them if you need them.