House of Commons photoWon his last election, in 2004, with 35% of the vote.
Highways November 19th, 1996
Mr. Speaker, as the hon. member knows and as we discussed, the trans-Labrador highway is not part of the national highway system and is essentially a provincial responsibility. However, under two of the current Canada Newfoundland and Labrador contribution agreements, $32 million has been approved for improvements to the trans-Labrador highway. Of that $32 million, $26 million is the federal contribution.
Air Transportation November 8th, 1996
Mr. Speaker, the hon. member has an incredible imagination.
What we said was that we had absolutely no intention of investing in Canadian International. The reason is obvious: this company which has incurred losses year after year is in need of some restructuring. The structure of the company needs to be changed, its contracts with American Airlines need to be changed, its routes need to be changed, and a lot of other things need to be changed before this company can begin to show a profit.
This is what I want to tell the hon. member. We mentioned no investment from the Canadian government. We have have received no application for an increase in American investments. No amount of Canadian or American money could help a company faced with structural problems.
Air Transportation November 8th, 1996
Mr. Speaker, the hon. member may have misunderstood what I said yesterday. The government policy has not changed. No decision has been made. There is no review concerning the participation of an American company in the airline industry, none at all.
The hon. member also mentioned CAW. No American company has made an application to invest or increase its investments in Canadian International. This is a purely hypothetical issue.
Air Transportation November 8th, 1996
Mr. Speaker, I completely agree that the employees of Canadian should have the right to vote on their future and on the restructuring program that has been proposed by Mr. Benson, the CEO of Canadian Airlines. It is their right and opportunity. It is a difficult decision. They have been asked for sacrifices previously. In no way do I wish to influence their vote one way or another, but they should have that right.
It is unacceptable to us to have a decision made by 300 people, I understand, in Toronto. There are 6,000 to 7,000 employees of that company in Vancouver and 6,000 to 7,000 in Calgary. That type of approach is simply unacceptable to us.
We want to make sure that the actual employees who are affected by this plan have the opportunity of expressing their views. That seems to be only fair. I certainly implore the leaders of the machinists and the Canadian Auto Workers to allow this element of democracy to take place.
Air Transportation November 8th, 1996
Mr. Speaker, this is not a situation where we are offering to any one particular company some special deal, not at all. What we are trying to do is make sure there is competition in the industry and that the players are treated as fairly as possible by the government.
I would like to thank the hon. member's colleague, the hon. member for Calgary Centre, who stated recently that a government bailout does not appear to be a viable option. With that I agree wholeheartedly.
We want to put Canadian back in the business of being a profitable company, creating new jobs and expanding internationally and domestically as well.
Air Transportation November 8th, 1996
Mr. Speaker, I certainly agree with the hon. member's comments with respect to the importance of Canadian Airlines International, our second largest carrier. It is very important to the government's competition policy, which has had such a dramatic effect in reducing the costs of travel in Canada and increasing the number of Canadians who travel.
With respect to the second part of the hon. member's question, it is not possible for this or any other government simply to continue to cover losses of a company that has had a chronic problem of losses. What must happen is restructuring to place that company on a profitable, competitive footing so that it can expand beyond the 16,000 jobs which have been created by Canadian Airlines International.
The plan of restructuring involves a number of elements, for example, changing the contract with American, changing the routing structure, making use of Vancouver's hub, increasing the Asian routes and the open skies routes with the United States, adjusting salaries and wages, as well as other measures. We want to make sure that plan has a fair chance.
I know it is difficult for the employees, but we want them to be able to vote on that plan.
Canadian Airlines November 7th, 1996
Mr. Speaker, I thank the hon. member for his question.
The point I would like to make to him and to everybody in this House is that we must keep our eye on the actual problem of Canadian International Airlines.
Anyone who thinks some government bailout can be a substitute for the restructuring plan of Canadian is simply dreaming. There is no point in coming forward with financial assistance to handle the losses of a period if there are no structural changes made that will prevent those losses from reoccurring in the future.
That is why I can say to him-I appreciate his question-that we strongly support the proposals for restructuring Canadian airlines which have been put forward. I recognize this will be a very difficult decision for the employees and I am extremely sympathetic to them as they consider this plan.
Without a plan within the company which deals with the structural chronic losses that it has had, we will not be able to have that company providing employment in the future as we would like.
Air Transportation November 7th, 1996
First, Mr. Speaker, the loan of $120 million was from three governments, not one. Second, three-quarters of that loan has in fact already been repaid.
With respect to the overall issue of the position of Canadian, we believe it is really important for this restructuring to succeed. A company which has a structural problem and consistently loses money year after a year is not in a position to continue for many years in operation. Therefore we want to make sure the restructuring process succeeds.
The issue of a loan or of changing ownership simply does not enter into the fundamental question which is a restructuring of its systems so that it becomes a profitable company and can continue to employ 17,000 Canadians
Air Transportation November 7th, 1996
Mr. Speaker, the hon. member's position is based on an erroneous premise. There has been no request from Canadian International for government funds, there has been no request for money from the government. We are not going to force a company to take our money. That will not happen.
Air Transportation November 7th, 1996
Mr. Speaker, the government's policy is to favour competition among several airlines. It is not a matter of having only two airlines; there are several others involved. We want a system that will help increase the number of flights while reducing fares.