Good afternoon. I appreciate the opportunity to present to the committee the views of the International Association of Machinists and Aerospace Workers.
The International Association of Machinists and Aerospace Workers is the leading union in the aerospace sector and the air transportation industry. The IAMAW represents over 55,000 members across Canada, of which 22,000 work in the aviation, aerospace and air transportation sector.
As the hardest-hit sector, air transportation is also a sector that is expected to experience a slow recovery, as well as fundamental change. Direct funding is necessary.
It has been a full year since COVID-19 became a reality in Canada, yet to date there has not been any targeted support for this industry. With a full recovery not expected until 2025, it is unrealistic to expect that aviation and air transportation will survive on raising funds independently. Without a planned sector-specific strategy, several industries face decimation.
The Canadian government was quick in responding to the economic crisis triggered by the pandemic and made available the CEWS, although most employers did not top up the 25% of workers' wages and would only use the subsidy for active employees. This went against the original intent of the program, which was to reduce layoffs and to help employers maintain workers on the payroll.
The pandemic has had a broad effect on many industries, not just the airlines. Operation of airports, pre-boarding screening services and aerospace, aircraft and component manufacturing are just some of the industries that have been impacted by the decline in air transportation.
For workers, the decline in the industry has translated into massive layoffs. In the air transportation sector alone, 10,000 of our members are currently laid off. Laid-off workers lose more than just a job. They lose their health benefits, and their pension contributions cease. Many of these laid-off workers will not be able to find comparable jobs in the current labour market. Many more will face the grim economic reality and rely on an overburdened, ill-equipped public services system for assistance.
Passenger capacity is down by more than 90% and 28 domestic stations are closed. Station closures of regional airports impact not only workers who depend on those jobs, but entire communities that are now disconnected from the large urban centres.
We urge the federal government to recognize the true impact of the pandemic by acknowledging that this is a sector-specific issue that requires an urgent sector-specific response.
In terms of recommendations, to facilitate policy development, the IAMAW recommends the establishment of a sector council working group consisting of government, industry and union representation. Support for smaller air carriers and fostering regional air networks are essential. A comprehensive and sound policy will ensure the long-term viability of Canadian air carriers, large and regional. The IAMAW has been advocating for a national labour strategy in both aerospace and air transportation. Now is the time to enhance education and training of the next generation of workers.
We also recommend a repatriation plan that secures the jobs of the Canadian aircraft maintenance and technical operations workers. The IAMAW represents members in aircraft technical operations classifications across the country, and their main concern is that the work that should have been done by our members is now being done out of country. Seventy-nine aircraft have been grounded permanently and 200 aircraft have been grounded outside the country. This is what our members can and should be doing here in Canada.
The IAMAW is committed to working with all relevant stakeholders. Ultimately, we call for the development of a sector-specific action plan with goals that will stimulate and rebuild the industry. However, the health and safety of the travelling public and our members are at the forefront of any plan and strategy. Clear boundaries must be set on how public money is used, to prevent paying out bonuses, share buybacks and any other scheme that does not directly benefit the industry.