^No one really expected the employment in Thunder Bay to remain at its current level. There were people hired for the streetcar order with every expectation that they would be laid off once that production line ended. What has happened is that the streetcar order has gone on so long that those jobs have come to be seen as ‘permanent’ when thy never were.
Of course, everyone hopes that more business will come along, but there has never been a guarantee of that. Just like how auto plants add a second or third shift when sales are good, but that may not last forever. It’s hard when that added shift gets laid off, but it’s the reality of a cyclical business.
What makes this announcement noteworthy is the realisation that the GO bilevel, TR subway, and Flexity product lines are all hitting a soft market at the same time. That’s closer to a ‘perfect storm’. There may be good reason to try to keep the facility afloat, as once it closes there may be no way to reopen it, and being able to reorder those products is in the povince’s interest. But one must think about parity with North Bay, and Kingston eventually. Only so much can be propped up by government, especially when others (eg Alstom) are able to open new plants.
I feel for Thunder Bay, but I think this may be a reality that everyone has to swallow.
- Paul
