Stan Keyes

[Canadian Airlines, November 28th, 1996]

Mr. Speaker, I will first address the subject of procedure that the hon. member raised. When the Minister of Transport is busy doing his job across the country, and in this case in British Columbia facilitating discussions on all sides in the Canadian Airlines dilemma, then it falls to the duty of the parliamentary secretary to answer the questions in the House of Commons and I have the privilege to do that.

On the issue of substance in the hon. member's question, it is important to understand that there are still some details to be worked out on the aviation fuel tax rebate. Quite frankly that rebate will only apply if certain conditions are met.

As we have stressed day after day for the last month, there will be no bailout from the federal government for Canadian Airlines. The conditions are that the British Columbia government and the Alberta government come on board. Just yesterday the Minister of Transport congratulated Premier Ralph Klein for coming on board on that restructuring plan. Of course the Canadian Airlines family, that is the company and the union membership have to come on board. That entails all six unions. Finally, American Airlines and the creditors to the airline also have to be part of the restructuring package.

[Canadian Airlines, November 28th, 1996]

Mr. Speaker, this gives me the opportunity to announce that the government has remained consistent with its message that there will be no bailout of Canadian Airlines. The government has come forward with a tax rebate program on fuel for the aviation industry. It will allow carriers which have significant losses over a number of years to claim rebates against aviation fuel taxes.

[Aviation Fuel Tax, November 27th, 1996]

Yes, Mr. Speaker, this government is in the process of doing its job and trying to help Canadian get back on its feet.

The hon. member speaks of the union between the leadership and its employees. It was three weeks ago that the Minister of Transport brought this issue to the floor of this House, on November 8, when he said that he completely agreed 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, CEO of Canadian Airlines.

We are on side with the company. We are trying to work with the company and its employees. We want to see Canadian Airlines survive.

[Aviation Fuel Tax, November 27th, 1996]

Mr. Speaker, I am a little amazed at the question put by the hon. member only because we know that the hon. member is an active member of the transport committee who has always been very facilitating and very helpful in situations on bills and so on.

Today he chooses this very difficult time that is taking place between a company and its employees in trying to restructure an airline, the goodwill that is being demonstrated by three different levels of government in the facilitation, the team work being put forward by not only the federal government but the Government of Alberta, the Government of British Columbia. It is a team approach that will see this airline survive and be prosperous. The hon. member's intervention and political gainsmanship are not helping one bit.

[Aviation Fuel Tax, November 27th, 1996]

Mr. Speaker, sometimes the answer cannot be as simple as the question. We have to do the appropriate thing in the best interests of Canadians. We have to meet with the appropriate individuals, the president of the company and the union officials. Four of the six unions have all come on board. They have been very active.

Yes, Canadian Airline employees have made their sacrifices but so have Canadian taxpayers. We have to ensure that the Canadian taxpayer is also protected.

As I said before, all those serious proposals have been made to the Minister of Transport. He has been there since last Sunday facilitating these discussions. All those proposals are under active consideration at this very moment.

[Aviation Fuel Tax, November 27th, 1996]

Mr. Speaker, the hon. leader of the third party is again right. There have been sacrifices, many of them made by the employees of Canadian Airlines. However, I remind the hon. member that there have been many sacrifices made by the Canadian taxpayer for Canadian Airlines as well. Therefore we have to act responsibly and act in their best interests.

The minister went out to British Columbia. He has been working hard at facilitating discussions. He has met with Mr. Kevin Benson, the president of Canadian Airlines. That meeting has been successful. He has met with six of the unions. Four of those unions have come on board, including the largest union, the machinists union, led by Mr. David Ritchie.

We can say that those discussions have been fruitful. There have been some serious proposals put on the table and they are now under active consideration.

[Aviation Fuel Tax, November 27th, 1996]

Mr. Speaker, we agree wholeheartedly with the hon. member's position that Canadian Airlines is a very important company for this country.

The Minister of Transport wants it to survive and succeed and so does this government. He is meeting with all the people necessary to meet with in order to make that happen.

[Taxation, November 26th, 1996]

Mr. Speaker, the people who are members of CUPE and the CAW have to talk to their leadership and say: "We have heard what you have had to say. We have listened to your advice. Now we would like to put it to a vote". I think this is an issue that has to take place between the union membership and its leadership.

[Taxation, November 26th, 1996]

Mr. Speaker, the hon. member seems to circumvent or just forget all about the real problem at Canadian Airlines.

Canadian Airlines is not making a profit. Canadian Airlines has to restructure. The people of Canada had to adjust to tough economic conditions by restructuring. Canadian Airlines has to do the same.

[Canadian Airlines, November 26th, 1996]

Mr. Speaker, I would like to add to the hon. member's comments because they are most welcome.

The minister said yesterday while he was in Richmond that great contributions were made by the workforce at Canadian. They are great people and they run a good airline. The trouble is the airline is not profitable. It lost $1.2 billion over the last 10 years.

The addition I would like to make to the hon. member's question is that the leadership of the Canadian Auto Workers and CUPE have forgotten that it is not just the employees at Canadian Airlines who are taxpayers. The government also has a responsibility to look after the interests of all Canadian taxpayers: in my riding, the member's riding and every riding in the country. It has to ensure that their investment is looked after and that they are protected as well.

That is why we are encouraged and looking forward to the restructuring plan of Canadian. In that way the Canadian taxpayers are looked after as well as the 16,500 employees of Canadian of whom the hon. member speaks.