Fri, Nov 27, 2009
Bombardier 'Adjusts' Its CRJ Aircraft Production Rate, 715 Jobs
Lost
It's, literally, a sign of the times. Bombardier has confirmed
that the current economic and airline industry environments
'continue to make it difficult to gain new aircraft orders,
particularly for the CRJ aircraft family.' Consequently, it
will reduce its CRJ aircraft production rate.
The adjustment to the CRJ aircraft production rate will result
in the layoff of approximately 715 employees in Bombardier
Aerospace’s facilities in the Montréal area, starting
January 2010 through to the first two quarters of the next fiscal
year. The adjustment to the workforce level also reportedly
includes a small number of layoffs related to the decrease in the
Bombardier 415 amphibious aircraft production rate. Severance costs
associated with this latest reduction in the employment level are
approximately $10 million US. This is in addition to the
approximately 4,360 layoffs previously announced this fiscal year
for Bombardier Aerospace worldwide.
“There are not enough projected CRJ aircraft sales to
maintain the current production plans,” stated Guy C. Hachey,
President and Chief Operating Officer, Bombardier Aerospace.
“Although we are in discussions with several airlines, we
had to finalize our aircraft delivery schedule for the next fiscal
year. We fully recognize the impact this additional workforce
reduction will have on our affected workers and their
families.”
“We continue to invest in current and in future products,
including the CRJ1000 NextGen, Learjet 85 and CSeries aircraft
programs. In September, we broke ground for the first building of
our new CSeries aircraft Mirabel facility, which will be used for
ground testing and certification activities. More recently, we
celebrated another major milestone in the CSeries aircraft program
as construction got under way on our new state-of-the-art aircraft
wing manufacturing and assembly facility in Belfast, Northern
Ireland,” added Mr. Hachey.
Bombardier does note that it is currently recruiting for more
than 500 positions for programs in the fields of production support
and engineering, in accordance with their investments in
continuging new aircraft programs.
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