Thank you very much, Madam Chairperson.
I'm pleased to be here today to speak on Bill C-10, the amendments to the Air Canada Public Participation Act.
Manitoba is home to a world-class aerospace industry. It is the largest in western Canada, with approximately 5,400 individuals employed directly, and many more indirectly in related sectors of our economy. Our firms are diverse and on the cutting edge of technology and innovation. The outlook for the Manitoba aerospace sector is positive.
Nonetheless, the global supply chain is extremely competitive, and Manitoba companies face severe competition from lower-cost jurisdictions. The loss of high-quality skilled jobs that resulted from the closure of Aveos in 2012 is still very much felt in our province. It is healthy for our country to maintain a robust and competitive aerospace industry outside of eastern Canada. As a new government, we need to be sure that Manitoba will be given the consideration it is due if changes to the Air Canada Public Participation Act are being sought.
There are significant implications to moving forward with Bill C-10. It is not appropriate to rush through without substantial dialogue and consideration. Actions taken by federal governments can have an enormous impact on the sustainability of Manitoba's aerospace sector. One of the most notorious was the CF-18 contracts. These types of conflicts serve no one's interests, and can be avoided through proactive participation.
Our government has been engaged with our partners in the federal government and Air Canada, as well as local stakeholders, regarding the implications of Bill C-10.
In February 2016 the previous government wrote Minister Garneau to request that amendments to the Air Canada Public Participation Act be limited to expanding the geographical scope of Air Canada's commitments within Manitoba. The proposed amendments go significantly further than the geographical scope. The spirit and original intent of the legislation was to ensure that skilled heavy maintenance work remained in Manitoba. While some flexibility can be appropriate, the proposed amendments virtually eliminate any obligation for the company to maintain high-quality skilled heavy maintenance jobs in our province. This is contrary to the interests of Manitobans.
The aviation industry has evolved substantially since the privatization of Air Canada and the introduction of the Air Canada Public Participation Act. Competitiveness is an integral part of economic growth. We embrace change, but it is the responsibility of our new government to ensure that Manitoba's aerospace industry emerges strengthened, not weakened, as a global competitor.
Manitoba's interests are clear: economic growth, high-quality jobs, and a strong and competitive aerospace industry. The federal government's approach to Bill C-10, simply put, jumps the gun. Bill C-10 is being rushed through the process before the necessary specific investments and binding commitments by the federal government and Air Canada have been secured.
As a direct result, the Government of Manitoba must oppose Bill C-10. Our province will continue to do so until such time as specific commitments have been made to reassure Manitobans that changes to the Air Canada Public Participation Act and related accompanying investments in job creation will provide a net benefit to the Manitoba economy.
This concludes my statement to the committee. I thank members for listening today.