Evidence of meeting #20 for Government Operations and Estimates in the 45th Parliament, 1st session. (The original version is on Parliament’s site, as are the minutes.) The winning word was stellantis.

A recording is available from Parliament.

On the agenda

Members speaking

Before the committee

Piruzza  Director, External Affairs and Public Policy, FCA Canada Inc.
Hammond  Chief Financial Officer, Department of Public Works and Government Services
Davis  Assistant Deputy Minister, Chief Financial Officer, Shared Services Canada
Ieraci  Assistant Deputy Minister, Policy, Planning and Communications, Department of Public Works and Government Services
Laporte  Senior Assistant Deputy Minister, Procurement Branch, Department of Public Works and Government Services
Bertrand  Senior Assistant Deputy Minister, Receiver General and Pension Branch, Department of Public Works and Government Services

3:40 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

They provided us with a copy of the redactions. We responded that we found them to be appropriate and then we had a further conversation with respect to those redactions.

3:40 p.m.

Conservative

Kelly Block Conservative Carlton Trail—Eagle Creek, SK

Thank you.

3:40 p.m.

Conservative

The Chair Conservative Kelly McCauley

Thank you very much.

We'll go to Mr. Gasparro, but I'll apologize before we do. We do have with us today, as we've had recently, our legal counsel, Mr. Bédard and Ms. Gauthier. We'll keep it informal. If you have questions for them specifically, feel free to address them directly. You don't have to go through the chair or anything. Make use of them if you see fit.

We have Mr. Gasparro, please, for six minutes

Thank you for waiting.

Vince Gasparro Liberal Eglinton—Lawrence, ON

Thank you, Chair.

Thank you, Ms. Piruzza, for being here. My questions are not directed to you, but through you to your company. They're around values. I have a bit of a preamble.

During the global financial crisis, the Government of Canada, from a present value perspective, lent then Chrysler over $6 billion. The taxpayer lost over $1.8 billion when the equity value of Chrysler was zero. Eleven thousand jobs were lost. Plants were shut down.

Fast-forward to today. The Government of Canada lent now Stellantis, from what we have seen, $222 million. Just yesterday, your CEO was in Washington with the President, announcing that they are investing $13 billion in the United States, practically blowing Canadian taxpayers' dollars.

Does Stellantis have a values problem in that they say one thing at one time to get whatever capital they need and then change their messaging when the environment is convenient for them?

3:45 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

Thank you for the question.

Stellantis has been in Canada for over a hundred years now and we remain committed to Canada. With respect to investments in Canada, over the last few years we have invested billions in Canada. We are increasing production at our Windsor assembly plant. We are adding a third shift and 1,500 jobs at the Windsor assembly plant. Our research and development centre in Windsor has also enhanced its capabilities and added over 600 professional jobs at that location, and we have other investments through other locations as well.

With respect to our commitment in Canada, I think it's fairly clear, given the billions that have been invested over the last number of years and the advancements we've made.

Vince Gasparro Liberal Eglinton—Lawrence, ON

That sounds good, and we appreciate the foreign direct investment that has been placed in our country. However, I'm going to come back to it again. Your CEO was at the White House yesterday celebrating the rollback of, for example, fuel economy legislation. When I check your corporate filings, corporate sustainability for your products is a top priority. How do you rectify that?

Again, I'm coming back to this being a question of values.

3:45 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

Thank you.

I can't speak to American policies or American politics, but I can speak to our commitment in Canada in terms of the investments, as I just outlined, the advancements we're making and the employment we're increasing in Canada, as evidence of our commitment to Canada.

Vince Gasparro Liberal Eglinton—Lawrence, ON

When was the decision made to relocate Jeep Compass production? Was it made before or after Stellantis accepted government incentives?

3:45 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

If you're talking about the SIF agreement, that goes back, I believe, to 2022. Included in that time are our investments in Windsor, at the ARDC and in Brampton.

I know, and you may know, that at the end of October, Jeff Hines presented at INDU on operational and strategic decisions at that time. The decision for Brampton was rolled into a vehicle allocation plan across North America, which continues.

Vince Gasparro Liberal Eglinton—Lawrence, ON

You mentioned a third shift being added at the Windsor assembly plant, which will create 1,500 new jobs. However, 3,000 jobs are being lost in Brampton. That still leaves a net loss of 1,500 jobs. How does Stellantis justify this overall reduction?

3:45 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

Brampton is on an operational pause. It has not closed. Those employees remain employees of Stellantis.

Vince Gasparro Liberal Eglinton—Lawrence, ON

Thank you.

3:50 p.m.

Conservative

The Chair Conservative Kelly McCauley

Thanks, Mr. Gasparro.

We'll go to Madame Gaudreau, please, for six minutes.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

Thank you very much, Mr. Chair.

It's a whole saga. That's a lot of zeros for the people watching us, because we trusted a successful company that has a large monopoly and that received help on that scale, unlike other industries, such as the forestry industry, which received crumbs.

Today, we're wondering how it took so long. We're wondering if it's for technological or other reasons. We don't know what happened. The answer no doubt lies in what was redacted. I have the document before me. We could have addressed the matter right off the bat.

It's possible to impute the motives behind deciding not to submit information in private. We're going to be told that it's to protect competition. That's one thing.

However, the most important thing is to understand how Stellantis, a multinational company, can make decisions that go against its contract, decisions that lead to job losses and that affect nonrepayable loans of enormous value to citizens.

How can Stellantis explain what's going on right now?

3:50 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

We certainly appreciate government support for the industry and we appreciate the collaboration with the government, at all levels of government.

We are honouring our agreements. We've invested in Windsor. We've invested in the ARDC. We will continue to work with the government to find a suitable solution for Brampton as well.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

Have I understood correctly that, for example, if certain terms of the agreement aren't respected, you will correct the situation? When the terms and undertakings are not met, corrections are made. That's what you're telling us here, in public, isn't it?

3:50 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

We are actively planning, working and collaborating with government to find a solution for Brampton, as I said. We will honour our agreement.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

Have you established any steps or a communication process to keep both the government and the parliamentarians on this committee informed?

3:50 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

We are having conversations with government, and at this point, information that's been shared is confidential. We will continue to have those conversations again. I think all of us have a joint desire to find a solution for Brampton, and that's what we'll continue to work towards.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

Since I still have a bit of time left, I'd like to ask you one last question.

I've stopped the clock, Mr. Chair, because I feel like it's hard to focus. I have six minutes; we have to do a preamble, and there's a delay in the interpretation, so I thank everyone for their understanding. I'll restart my clock.

Who in the department contacted you, and what did that person say when they spoke to you about the motion in question on the production of documents?

3:55 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

I can't recall exactly who, but it would have been someone from the SIF unit of ISED.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

No. It isn't working. I didn't understand a thing.

Could you repeat that, please?

3:55 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

I don't have the email so I don't know exactly, but it would have been through the department of ISED, the SIF unit.

Marie-Hélène Gaudreau Bloc Laurentides—Labelle, QC

I wish you could…. I'm sorry; I can't hear.

3:55 p.m.

Director, External Affairs and Public Policy, FCA Canada Inc.

Teresa Piruzza

I'm sorry. It keeps going on and off.