Due to a decrease in its order backlog, the builder of motor coaches Prevost thanked 250 workers for an indefinite period at its plant in Sainte-Claire, in Chaudière-Appalaches. Since may, in total, 550 people have been dismissed at this institution.
On Thursday, the employees have learned the bad news after a meeting between management and union Uniforms and equipment. The layoffs are expected to take place around October 16.
In a press release, the union appeals to Ottawa so that he could review quickly some of the criteria imposed on businesses to have access to the wage Subsidy emergency of Canada (SSUC).
Currently, the loss of income of the Volvo group are assessed on the entire division, which includes its subsidiary Novabus, which has pulled its pin of the game since the resumption of activities.
In recent months, the Volvo group, the parent company of Prévost, had had access to the wage Subsidy emergency in Canada, but the direction is feared to no longer comply with, possibly, some of the criteria, and this, even if one of its divisions, continues to see its sales plunge.
“The criteria for access to the grant should notably take account of the situation of the subsidiaries only, and not of the whole enterprise. It is necessary to take into account that the different divisions are not in similar markets,” says Benoît Tremblay, president of the trade union committee of the factory and of the local section 9114.
Continuation of the activities
Prévost expects to still continue its deliveries of vehicles already sold, as well as the manufacturing of certain products such as houses and motor and the chassis of the bus for the american market.
This is half of the 1100 workers in the factory and the offices in Sainte-Claire, who have lost their livelihood due to the impacts of the pandemic.
It must be said that, in recent months, a number of transport operators have chosen to postpone their orders for buses.
“As soon as we have an upturn in orders, it is sure that we will adapt the pace of production,” says Emmanuelle Toussaint, vice-president of communications at Volvo.
“It is everywhere in North America. People no longer traveling between the cities. There are no more sporting events or tours. Our customers are impacted and recovery is slow to come. This has an impact on our production,” she continued.