By Allison Lampert
MONTREAL, April 21 (Reuters) - A $1 billion Canadian
government aid package for Bombardier Inc BBDb.TO should not
be delayed over fears that the plane-and-train maker could
outsource jobs to Mexico or China, the head of Canada's largest
private sector union said on Thursday.
Unifor President Jerry Dias said in a telephone interview
that he opposes any outsourcing of aerospace jobs, but that
Canada's Liberal government should nevertheless "plow ahead"
with aid for the company's CSeries jet even without guarantees
that Bombardier will keep producing Q400 turboprop cockpit and
wings in Toronto.
Executives with Montreal-based Bombardier have talked about
their desire to outsource production of parts of the turboprop
in an effort to lower costs and better compete with rivals ATR,
co-owned by Airbus Group AIR.PA and Italy's Finmeccanica.
On Wednesday, Canada's Innovation Minister Navdeep Bains,
who is in control of the negotiations, told reporters the
government has linked any aid for Bombardier with research and
development investment in Canada, the location of the company's
Montreal head office and "good-quality jobs."
"I understand the government's sensitivity. And I understand
clearly that the optics for our government look terrible," said
Dias. "But I also understand also that this is a company that
needs help ... I have to look at the bigger picture."
Dias said the union would lead a separate battle to keep the
200 Q400 jobs in Toronto and had language in its contract that
would help protect them.
"I believe there is a made-in-Canada solution," he said.
Bombardier's 18,000-strong workforce in the province of
Quebec is largely aerospace-focused and its presence helps
support many smaller part vendors and suppliers in the region.
Bombardier wants Ottawa to match the province of Quebec's $1
billion investment in the CSeries, which is years behind
schedule and billions of dollars over budget.