AirCan examines layoff options

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This article was published 22/12/2009 (5766 days ago), so information in it may no longer be current.

MONTREAL — Machinists, Air Canada and the company that maintains the airline’s fleet of planes are exploring federal assistance programs to help reduce the number of layoffs — potentially as many as 255 in Winnipeg — required next spring.

The International Association of Machinists and Aerospace Workers warned Monday of “significant” temporary and permanent jobs losses at Air Canada in 2010 due to lower volumes of airframe maintenance work.

But the union, Canada’s largest airline and Aveos Fleet Performance Inc. are considering a number of ways to reduce job losses including retirements, attrition, job sharing and use of time accumulated from overtime.

“In light of the sacrifices made by our membership in the most recent round of bargaining to keep Air Canada flying, we think the senior management of Air Canada and Aveos are obligated to act on a number of mitigation initiatives… to lessen the impact on our members,” directing general chairman Chuck Atkinson said in a statement.

The group is exploring possible government assistance and will meet again early next month.

Bombardier (TSX:BBD.B) recently availed itself of an employment insurance program to reduce the number of layoffs next year. Employees will work four days and receive government financial support for the fifth day.

Aveos, formerly known as Air Canada Technical Services, was set up in 2007.

Reports have suggested that up to 875 machinists jobs could be affected in April and June when demand falls for heavy maintenance of Air Canada’s A319 and A320 planes. The layoffs could impact 255 workers in Winnipeg — out of 620 unionized workers here — 415 in Montreal and 205 in Vancouver.

The union and companies said it would be premature to discuss the number of jobs affected or regional breakdowns. “We are right in the middle of mitigation discussions so it’s premature to jump to any conclusions,” Aveos spokesman Michael Kuhn said.

He said the 875 job number is misleading because most of them are temporary layoffs that will end when work picks up again in July and September.

The union said the layoffs will be the result of Transport Canada’s approval of the airline’s request to lengthen the period between aircraft heavy maintenance checks.

— The Canadian Press