The CAW is pressuring the town of Ingersoll, Ont., to call off the purchase of a Caterpillar backhoe after it shut its London plant, putting hundreds of people out of work. (CP)

The town of Ingersoll, Ont., is facing pressure from the Canadian Auto Workers to call off the purchase of a Caterpillar backhoe.

The union said the town should not be supporting a company that recently shut down the Electro-Motive factory in London, Ont.

The Caterpillar backhoe had come out on top in a recent tendering process in Ingersoll. The Caterpillar quote was $2,300 cheaper than its nearest competitor, John Deere.

Dan Borthwick, Ingersoll's CAW president, said the town should buy the higher-priced machine and make a strong political statement.

"We don't think the $2,000 difference is a hell of a lot of money, when you're looking at putting 700 people out of work and showing support for them," Borthwick said.

Ingersoll Mayor Ted Comiskey said he feels for the Electro-motive workers, but the town's policy dictates that the lowest bid must be accepted unless there's a compelling reason.

Comiskey was not sure the municipality can justify the $2,300 difference for the John Deere machine.

"You ask a gentleman that has over $2,300 in taxes to pay on his house how is the town spending his dollars. I think you can answer that," Comiskey said.

Town council has decided to defer a decision on the purchase until it receives advice from its administrators.

A final decision is expected at the next council meeting on March 12.