Aveos Fleet Performance Inc: Air Canada Maintenance Provider Shuts Down Plants

First Posted: 03/18/2012 9:10 pm Updated: 03/21/2012 12:00 pm

Air Canada
The union representing aircraft machinists says Aveos Fleet Performance Inc., a company that provides aircraft maintenance to Air Canada, has shut down its plants in three cities, laying off more than 2,400 workers. (Alaskan Dude, Flickr)

WINNIPEG - Aveos Fleet Performance Inc., a company that provides aircraft maintenance to Air Canada, has shut down its plants in three cities, telling more than 2,400 workers they're being laid off and should not return to work, a union leader said Sunday.

Tony Didoshak with the International Association of Machinists and Aerospace Workers said Aveos employees were given the notice simultaneously at 1:30 p.m. ET on Sunday in Montreal, Winnipeg and Vancouver.

The union, which also represents Air Canada's mechanics, baggage handlers and ramp personnel, had feared for Aveo's future after Air Canada moved to subcontract some of its work offshore.

"It is my understanding that Aveos has ceased operations," said Didoshak, who is the union's general chairman in Winnipeg.

Didoshak said union officials haven't been able to reach anyone with Aveos to confirm the layoffs. Attempts by The Canadian Press to reach the company were also unsuccessful.

Air Canada (TSX:AC.B) has moved maintenance of landing gear and engines out of Aveos facilities and is sub-contracting work to other maintenance providers, including to China. The airline has also delayed some work until the fall.

Aveos was once Air Canada's technical services division but was later spun off as a separate company. The airline is Aveos' largest customer, providing about 90 per cent of its maintenance overhaul work.

Its exclusive contract expires in June 2013 and Air Canada has issued a request for proposals for future contracts.

Fred Hospes, chairman of the IAWAW District 140 Western Region, said earlier this month that the union was seeking conciliation — a process involving federal officials — in a bid to get more details about the financial difficulties facing Aveos.

Didoshak said work slowed down about three weeks ago in Winnipeg where Aveos services Air Canada's Embraer 190 jets.

"We had aircraft that were supposed to show up that haven't been showing up," Didoshak said.

No one from Air Canada could be reached on Sunday evening to respond to how the Aveos plants shutdown would affect the airline, which is in the middle of a bitter labour dispute with its pilots.

On Sunday, the airline asked the Canada Industrial Relations Board to step in after an unusually high number of pilots called in sick over the weekend, causing some flights to be cancelled or delayed.

_ By Rob Drinkwater in Edmonton.

FLASHPOINTS IN THE HISTORY OF CANADIAN LABOUR
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  • Labour Day: A Canadian Invention

    Few Canadians realize it, but Labour Day is as Canadian as maple bacon. It all began in 1872, when the Toronto Typographical Union went on strike to demand a nine-hour workday. When <i>Globe and Mail</i> chief George Brown had the protest organizers arrested, Prime Minister John A. Macdonald passed a law legalizing labour unions. Thus, a Conservative prime minister became a hero to the working class, and Canada became among the first countries to limit the workday, doing so decades before the U.S. The typographers' marches became an annual event, eventually being adopted by the U.S., becoming the modern day Labour Day.

  • The Winnipeg General Strike

    The end of World War I brought social instability and economic volatility to Canada. On May 15, 1919, numerous umbrella union groups went out on strike in Winnipeg, grinding the city to a halt. Protesters were attacked in the media with epithets such as "Bolshevik" and "Bohunk," but resistance from the media and government only strengthened the movement. In June, the mayor ordered the Mounties to ride into the protest, prompting violent clashes and the death of two protesters. After protest leaders were arrested, organizers called off the strike. But the federal mediator ended up ruling in favour of the protesters, establishing the Winnipeg General Strike as the most important strike in Canadian history, and a precursor to the country's modern labour movement.

  • The Regina Riot

    During the Great Depression, the only way for a single male Canadian to get government assistance was to join "relief camps" -- make-work projects set up by the federal government out of concern idle young men were a threat to the nation. The relief camps, with their poor work conditions, became breeding grounds for communists and other radicals. The "On-To-Ottawa Trek" was organized as a protest that would move from Vancouver across the country to Ottawa, to bring workers' grievances to the prime minister. The trek halted in Regina when Prime Minister R.B. Bennett promised to talk to protest organizers. When talks broke down, the RCMP refused to allow the protesters to leave Regina and head for Ottawa, and on June 26, 1935, RCMP riot officers attacked a crowd of protesters. More than 100 people were arrested and two killed -- one protester and one officer.

  • Bloody Sunday

    In May, 1938, unemployed men led by communist organizers occupied a post office and art gallery in downtown Vancouver, protesting over poor work conditions at government-run Depression-era "relief camps." In June, the RCMP moved in to clear out the occupiers, using tear gas inside the post office. The protesters inside smashed windows for air and armed themselves with whatever was available. Forty-two people, including five officers, were injured. When word spread of the evacuation, sympathizers marched through the city's East End, smashing store windows. Further protests against "police terror" would be held in the weeks to come.

  • Giant Mine Bombing

    In 1992, workers at Royal Oak Mines' Giant Mine in the Northwest Territories went on strike. On September 18, a bomb exploded in a mineshaft deep underground, killing nine replacement workers. Mine worker Roger Warren was convicted of nine counts of second-degree murder. The Giant Mine closed in 2004.

  • The Toronto G20

    The Canadian Labour Congress, representing numerous labour groups, participated in protests in Toronto during the G20 summit in June, 2010. When a handful of "Black Block" anarchists rioted through the city core, it brought an overwhelming police response that resulted in the largest mass arrests in Canadian history. More than 1,000 people were arrested, with most never charged with any crime. Numerous allegations of police brutality have been made, and the Toronto police are now the target of several multi-million dollar lawsuits. So far, two police officers have been charged with crimes relating to G20 policing, and charges against other police officers are also possible.

  • Occupy Canada

    When Vancouver-based magazine Adbusters suggested the public "occupy Wall Street" to protest corporate malfeasance, New Yorkers took the suggestion seriously, and occupied Zuccotti Park in Manhattan. Canadians followed suit, sparking copycat occupations in all major Canadian cities in September, 2011. By December, most of the occupations had been cleared, all of them non-violently. Though the protests achieved no specific goals, they did change the political conversation in North America. What their long-term legacy will be remains to be seen.

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WINNIPEG - Aveos Fleet Performance Inc., a company that provides aircraft maintenance to Air Canada, has shut down its plants in three cities, telling more than 2,400 workers they're being laid off an...
WINNIPEG - Aveos Fleet Performance Inc., a company that provides aircraft maintenance to Air Canada, has shut down its plants in three cities, telling more than 2,400 workers they're being laid off an...
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09:05 AM on 03/20/2012
So we should expect Lisa Raitt to step in on behalf the those who were laid off any second now.

Lisa !

*crickets*

Let's recap :

Union set to negotiate with management - Tories step in with labor relations board gambit .

Twice.

Management lays off workers from Air Canada support company sending jobs to China.
This move is the same as a permanent lock-out.

Tories allow "market forces" to rule.

Depraved indifference.

Stop Harper.
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whoshooter
"..judge me by the enemies I have made."-FDR
09:38 PM on 03/19/2012
I was an aircraft Engineer for 16 years and the last 3 with Air Canada. Quit and started my own business because the pay wasn't good enough. Bus mechanics made more than fully endorsed AMEs at the time.

However....you are all missing the most important factor with this story. The reason these jobs are gone is because AC is getting all this aircraft maintenance done in El Salvador.

You want to fly safely now from Canada you better fly Westjet. The maintenance on their aircraft is going to slip badly.
12:43 PM on 03/19/2012
Good to see the socialist Anti-Harper Riff raff are out in force today.
I am sure "wink" that those of you complaining about using cheaper mechanics because it is unsafe practice what you preach? You always find an expensive mechanic to work on your car right? Never go to a cheap oil change place I trust? You do get regular and expensive check ups on air pressure and fluid levels from the best mechanics right?
Yeah, that what I thought.
Oh and I hear it now "But planes anre not like cars blah blah. More people die from poorly maintained vehicles than from airplanes and you endanger more people every day driving a car that is less than optimally maintianed than you think.
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03:18 PM on 03/19/2012
Just TROLLING Qweeg? Nice to see the CON-Trolls out too.
06:34 PM on 03/19/2012
Planes are not like cars... and Canadian employees aren’t Chinese employees. We need the jobs HERE. The biggest reason the Federal government gives for shutting down strikes, and taking away union’s rights, is the economy. The fragile Canadian economy can’t handle the loss of income. Well, what the hec is going to happen to the 2,400 people who just lost their jobs??
What kind of government prevents people from fighting for their jobs, and allows big business to farm out to foreign countries?? Harper Government that’s who!
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Liz Wilson 2
“a small group can change the world
11:46 AM on 03/19/2012
How many jobs have been lost since harper moved into the big chair?
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Liz Wilson 2
“a small group can change the world
11:46 AM on 03/19/2012
In general Conservatives and right thinkers prefer a significant number of unemployed because it makes the picken's easier and cheaper for employers.

this large number of highly specialized workers will be fighting for the same jobs.
11:12 AM on 03/19/2012
Boycott air canada...i never fly them anyways..these are the best middle class jobs these clowns are shipping overseas...depressing
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Liz Wilson 2
“a small group can change the world
11:44 AM on 03/19/2012
While I agree with you completely. Air Canada is the only airline that will fly unaccompanied minors. To fly our grandson to and from Calgary will result in a huge additional expense for us because we will have to accompany him both ways.
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HUFFPOST SUPER USER
Thalin Lea
10:21 AM on 03/19/2012
If we don't stop soon this APARTHEID federal gov. even people from outside will get the right to vote for us.
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HUFFPOST SUPER USER
Thalin Lea
10:16 AM on 03/19/2012
We all shut down the federal gov by calling for new and legitime elections.
01:26 PM on 03/19/2012
Please learn how to spell the terms you wish to use. Learning their actual definition would be even better.
08:53 AM on 03/20/2012
Wow.
Your helpful comment inspired me to point out to you that not all people have English as a first language.

Further, if you had any difficulty whatsoever understanding the point that Thalin Lea was making, the problem lies with you.
10:08 AM on 03/19/2012
"Canadian's national airline" (Harper) is outsourcing jobs from qualified, hard working Canadians and the neo-cons expect us to stand behind the mismanagement of Air Canada's upper ranks? Disgusting display of globalism hurting the labour market far more then unions could ever touch profits.
10:07 AM on 03/19/2012
Outsourcing the most important aspect of your business to the cheapest bidder is not wise. I will never fly Air Canada again.
01:28 PM on 03/19/2012
And yet I would bet you shop around for inexpensive flights when you travel. Is that wise?
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john frodo
armchair expert
09:50 AM on 03/19/2012
This is a crock, the Federal Goverment is breaking a strike and Air Canada is offshoring all jobs.
10:05 AM on 03/19/2012
This is not related to the present strikes at Air Canada. This is Aveos going bankrupt thanks to our government allowing Canadian operated aircraft to be maintained outside of our borders.
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HUFFPOST SUPER USER
piceaglauca
The picture says it all....
09:45 AM on 03/19/2012
It wont be long before Air Canada will have priced itself out of the market. As for Aveos where are 2400 highly skilled workers going to go. The specialized aeronautics sector is shrinking fast.
10:07 AM on 03/19/2012
All of these trades have been slowly moving to China, India, Malaysia and Mexico for years. Planes move quite easily and our salaries are 10 times higher here than over there. It was bound to happen.
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HUFFPOST SUPER USER
Mr e MaN
Political Atheist
10:30 AM on 03/19/2012
Not 'bound to happen' we have to protect skilled work in Canada. This is terrible news. I would rather trust my safety to Canadians.
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HUFFPOST SUPER USER
piceaglauca
The picture says it all....
10:44 AM on 03/19/2012
Here's Air Canada allowing their workers to demand more than out sourcing the bulk of their mechanical divisions. The big thing we are not realizing is where we have got ourselves. Our big salaries pay big taxes and give us our standard of living and fantastic infrastructure. With the decline of good paying jobs the government will be short on revenue and most of us will we working for Walmart wages. Standards will decline and a living wage will need to be redefined.For those companies robbing our rsource based industries it is a one shot only. Maybe they should be taxed to the hilt but that will never happen in a capitalist market.
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Poster999
A promise made is a debt unpaid.
09:37 AM on 03/19/2012
You say their outsourcing the jobs to China. I'm so shocked because that is so rare in this day and age. Guess that new trade agreement is starting to kick in.
09:03 AM on 03/19/2012
Reminds me of the old Chinese expression. 'No Can Do.'
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logicanada
Blogger, radio co-host, writer, editor, voice-over
08:30 AM on 03/19/2012
I'm sure that Harper has some friends in the United States or even in Britain where he can have our fleet of aircraft maintained. Surely that was his intention since the first time he meddled in private business concerns. And we don't really need the jobs.

You have to really wonder where Harper's bread is being buttered. I just can't wait till he's toast.
10:08 AM on 03/19/2012
Forget the US and Britain, the work will go to much cheaper places with no safety standards or labor laws.