Bombardier taking steps to avoid production delays brought on by rail strike

[M II A II R II K]

Bombardier taking steps to avoid production delays brought on by rail strike


November 1, 2012

By Ross Marowits

Read More: http://www.montrealgazette.com/busi...uebec+rail+equipment+plant/7482095/story.html


Bombardier says it is taking steps to avoid delivery delays for a series of railway projects, including Toronto and Montreal’s subway cars, after workers at its plant in La Pocatière, Que., launched a strike Thursday. “We are taking all measures to ensure that we deliver on our commitments to our customers,†Bombardier spokesman Marc Laforge said in an interview.

He declined to specify how the company will avoid production delays, but said all measures will be legal. The plant northeast of Quebec City is currently working on building the sidewalls and roofs for an order from Toronto for 420 subway cars and interior finishings for 706 Chicago transit cars.Other contracts for 100 multi-level New Jersey transit cars and 54 multi-level cars for Maryland transit, along with nearly 500 Montreal Metro cars, aren’t yet in production.

Laforge said there shouldn’t be delays to this important contract. “Production is not due until one year so we’ve got time for that. We’re only working for the time being on two pilot cars, so there’s still a long way to go.†A spokeswoman for the Montreal transit authority said it is being updated daily by Bombardier on the state of negotiations. “Bombardier assures us that for now there is no impact on the contract to build Montreal Metro cars nor on the delivery schedule,†said Odile Paradis.

The union says 332 members of the Confederation of National Trade Unions began the plant’s first strike in more than 30 years over concerns about sub-contracting, pension plans and wages. The total active workforce is 549, including 217 non-unionized employees. Another 128 unionized workers are on sick leave or a recall list.

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[EnviroTO]

The union says 332 members of the Confederation of National Trade Unions began the plant’s first strike in more than 30 years over concerns about sub-contracting, pension plans and wages.

Yes, I'm sure sub-contracting will now go down as Bombardier works to ensure deliveries stay on schedule. Talk about self-defeating. Bombardier, in the middle of the CSeries development process, was able to move huge amounts of work from one under-delivering supplier to another that could speed things up but costed more. By being on strike they are ensuring that their plant is not the one that gets the work. Pensions are slowly becoming extinct, defined benefits are gone and it becomes no better than putting money in your own mutual fund account.

 

[Electrify]

As a stockholder with Bombardier, is there any way I can influence a decision in favour of the unions? One of the reasons I bought stock with them was because they provide good quality jobs for Canadians.

 

[rbt]

As a stockholder with Bombardier, is there any way I can influence a decision in favour of the unions? One of the reasons I bought stock with them was because they provide good quality jobs for Canadians.

Yes and no.

Depending on the corporations specific rules, any stockholder may put an item on the agenda for a shareholder vote. I'm sure you see these motions in the kits when you vote in board members. Contact the investor relations staff to find out how; they should be prepared to assist with proper wording and making sure it is legal.

The corporation, however, will recommend against the motion and most brokers and individuals vote whatever is recommended.

One benefit to making a motion like this is you might pickup some press.

 

[dowlingm]

As a stockholder with Bombardier, is there any way I can influence a decision in favour of the unions? One of the reasons I bought stock with them was because they provide good quality jobs for Canadians.

The headquarters of Bombardier Transportation (rail division) is in Germany.