Canada is in the midst of a crisis in manufacturing. In the last year alone more than 110,000 jobs have been lost in the sector. Amongst all this job turmoil, the country's aerospace industry is flying high ... for now.
The Conference Board of Canada reports the industry is set to post its highest profits in five years with production surpassing its pre-9-11 peak. This high plane that we are soaring will descend rapidly and crash land unless the government and company's like Bombardier act in the interest of Canadians.
We need a made-in-Canada purchasing policy that will stimulate job and revenue growth in this country not just in the aerospace sector but across all sectors. The lofty loonie's continued ascent has forced export-based firms like Bombardier to set up shop in low-wage locales in Mexico and India in an effort to mitigate profit loss brought on by the dollars near parity with the U.S. greenback.
The government can and must take some thrust out of the dollar.
Much of Bombardier's success can be attributed to responsible government-targeted repayable financial support in the areas of research and development and aircraft sales subsidies. Every major global aerospace manufacturer enjoys similar support. Without it, Canada would not have an aerospace industry.
However, the government must ensure that every penny afforded Bombardier is used to grow the sector in this country. Bombardier is considering awarding final assembly of its proposed 100-149 seat C-Series jet to the State of Missouri.
The Canadian and Quebec governments have committed millions of dollars to keep the work in Canada but find themselves embroiled in a game of one-upmanship with Missouri as Bombardier watches, wringing its hands in sheer delight.
The C-Series represents an incredible opportunity to grow Canada's aerospace industry well into the future. A moment like this only comes along once every 20 to 30 years. With hundreds of thousands of good-paying manufacturing jobs lost in this country over the last five years for Bombardier to even consider putting assembly work into the U.S. is shameful.
Not a penny of taxpayers' money should go to Bombardier if they don't act in the interest of Canadian workers and their families. The C-series jet must be built in Canada.
Roland Kiehne
President CAW Local 112 (Bombardier/DeHavilland)