Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

Bombardier Toronto union could strike June 23 if no deal

Published 06/07/2018, 05:43 PM
Updated 06/07/2018, 05:50 PM
© Reuters. A Bombardier logo is pictured during EBACE in Geneva

MONTREAL (Reuters) - Canadian workers who assemble Bombardier Inc's (TO:BBDb) turboprops and the company's new top-of-the-line business jet have threatened to go on strike as early as June 23, unless a negotiated wage deal is reached, the union chairman of their Toronto plant said on Thursday.

Merv Gray, plant chairman for Unifor local 112, told Reuters by telephone that the 1,600 workers are looking for greater job security on the company's strong-selling Global 7500 business jet, among other demands.

The long-range jet, which is to enter service this year, is a critical part of the Canadian plane-and-train-maker's strategy to grow business aircraft revenues to $8.5 billion in 2020, up from $5 billion in 2017.

While Gray stressed the union is pushing for a three-year contract to replace the agreement that expires on June 23, failure to reach a deal could lead to a strike that day depending "on how close we are."

Mark Masluch, a spokesman for Bombardier business aircraft said by email that "discussions are progressing well and we plan to work within the deadline."

While Masluch said Bombardier wouldn't "comment on the specifics of our ongoing, active discussions with Unifor, I want to emphasize we see a bright future for our products in Toronto."

Union workers at Bombardier's Downsview plant in Toronto assemble the Global 7500, the Global 5000 and the Q400 turboprops.

The union talks follow Bombardier's May announcement that it had agreed to sell the sprawling Downsview site, the company's largest land asset, to a Canadian pension fund for approximately $635 million.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

While Bombardier will continue to operate from Downsview for a period of up to three years, with two optional one-year extension periods, the sale has made job security a priority for workers at the factory, Unifor said in a May 31 statement.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.