today we have record employment and stock markets and a meh oil and gas sector
because ridiculously high oil and gas prices hurt our overall economy
Yep, the crappy economy is what keeps me in my job, thankfully but I feel bad for those who are truly suffering because of a Federal government who doesn't give a crap about it's citizens; some of whom are really hurting!
I am blessed in that good or bad economy, my job is quite secure. (Not unlike a funeral director LOL) There'll always be work!
MONTREAL — Quebec's hydro utility, the city of Montreal and McGill University are among the public bodies in the province that employ the most people earning six-figure salaries, according to a study published Tuesday by the Canadian Taxpayers Federation.
The data reveals that at least 43,469 provincial and municipal government employees earn more than $100,000 annually, costing taxpayers roughly $5.3 billion, says the national group that lobbies for smaller government and lower taxes...…………..More
Bombardier is in trouble — again. But after years of suckling on the public teat, it looks like the tide may be turning when it comes to political willingness to support the company with public money.
Despite billions of dollars in government support over the years, the Canadian company currently finds itself $9 billion in debt and the Wall Street Journal reported earlier this week that the aerospace giant is in talks to sell its business jet unit to U.S.-based Textron Inc.
Long seen as a company that’s too big to fail, in the past we would have seen federal and provincial governments lining up to support Bombardier. Indeed, the last time the company was in trouble, in 2016, the government of Quebec sunk $1.3 billion into its C Series jet program, gaining a 49.5 per cent stake in the project. The federal government later pledged $372.5 million in federal loans to its aerospace division.
A couple years later, in 2018, Bombardier sold a controlling stake in its C Series jet program to Airbus for $1 and laid off 2,500 workers in Quebec (the provincial government still has a 16.4 per cent stake in Airbus’ A220 program). Bombardier is now thinking of getting out of the partnership entirely.
The company’s rail division has also been plagued by problems. The company’s $1-billion contract to replace the Toronto Transit Commission’s (TTC) aging streetcar fleet was plagued by technical problems and it repeatedly missed its delivery targets. It was also criticized by Metrolinx, Ontario’s regional transit agency, for failing to produce light rail transit vehicles on time, which resulted in a lengthy court battle. Metrolinx did end up placing an order with Bombardier, though it was half the size of the original, and the TTC is now considering looking elsewhere for new street cars.
All this left many Canadians wondering what value they were getting for the billions of taxpayer dollars the company has received since the 1960s. And rightly so: companies that have a good chance of succeeding can generally raise money from the private sector; when they must resort to governments to keep the lights on, we should know something is wrong.
Luckily, politicians seem to be waking up to this reality. Responding to the report about Bombardier selling its business jet division, Pierre Fitzgibbon, Quebec’s minister of economy and innovation, said the company will likely have to sell off one of its divisions in order to meet the $1.5 billion in debt that it will have to repay next year. In other words: deal with it yourselves.
Quebec Premier François Legault also chimed in, calling the previous Liberal government’s $1.3-billion investment in the company a “mistake.” And given the flak Prime Minister Justin Trudeau took after the company accepted millions in government loans and attempted to pay US$32.6 million in executive bonuses while laying off 14,500 workers, hopefully he won’t touch it with a 10-foot pole, either.
Unfortunately, in typical Canadian fashion, the federal government did have the opportunity to provide Bombardier with an influx of cash that would not have come from the public purse, but chose not to. In 2013, Porter Airlines signed a conditional order for 12 C Series planes, with the option of purchasing 18 more, which would have allowed its regional service to expand to include flights as far away as Western Canada and California. The condition was that Toronto’s Billy Bishop Airport needed approval to expand its runway, in order to accommodate the jets.
It would have been a win-win for Bombardier, the airline and passengers in downtown Toronto looking for convenient access to longer-haul flights. But Trudeau’s Liberal government caved to pressure from Toronto Islands residents — who like to pretend they live in the country, rather than under three kilometres from Canada’s largest city — and those living in downtown condos, who were worried about noise, despite assurances that the jets were not any louder than Porter’s existing turboprop planes. In the end, the federal government blocked the plan, which could have provided Bombardier with upwards of US$2 billion in sales. As it turns out, Bombardier lives by the government hand, and dies by it.
Of course, unlike in 2016, the Montreal-based company is not on the verge of bankruptcy. The company is, however, heavily indebted and warning about sagging profits. But Textron’s reported interest in its business jet division and the fact that it has been in talks with France-based Alstom for a number of months about selling its rail division shows that many of its business units are viable and that there are private companies that may be willing to continue running them.
Rather than fearing the idea of foreign companies coming in and pillaging home-grown Canadian businesses, we should welcome the fact that they are willing to pump money into the economy by buying Canadian assets, while potentially doing a better job of running them in the future.
Coronavirus pummels sales of Canada Goose luxury coats
Jesse Kline: Bombardier lives by the hand of government and dies by it
What's the over/under that Justin will be talking bailout by Dec. 2020?
Canadian consumers filed the largest number of insolvencies in almost a decade at the end of last year, stoking concern about the impact of record indebtedness on households and the economy.
Insolvencies totaled 35,155 in the final three months of 2019, the most in any one quarter since 2010, according to data released Monday by the Office of the Superintendent of Bankruptcy Canada. That’s up 10.2% compared with 31,900 in the same period a year earlier and is about 5,000 shy of the record 40,589 reached in the third quarter of 2009.
After declining steadily after the financial crisis, insolvencies began accelerating again last year, prompting questions about whether the country’s record household debt -- C$2.3 trillion ($1.7 trillion) at the end of December -- is sustainable. Adding to concern is the fact insolvencies are rising at a time when Canada’s economy is doing relatively well, with an unemployment rate that averaged 5.7% in the fourth quarter. When insolvencies peaked a decade earlier, the jobless rate was almost three percentage points higher at 8.6%.
“I think we’re still going to see a slight increase in 2020,” André Bolduc, an executive board member at the Canadian Association of Insolvency and Restructuring Professionals, said in a phone interview from Ottawa. “We’re hoping the economy stays strong so that the increases stay healthy and it doesn’t become a crisis.”
On the less alarming side, adjusting the number of insolvencies to account for population growth shows the increase isn’t as dramatic. As a share of total debt, the rate of filings also appears to be more stable.
In addition, the lion’s share of the increase in the past decade has been so-called consumer proposals, where the debtor agrees with creditors to pay back a proportion of what’s owed. Proposals are considered less severe than bankruptcies, the other form of insolvency reported by the Ottawa-based OSB.
Consumer proposals climbed 22% in December from a year earlier, while bankruptcies were up 1.7%Total consumer filings for all of 2019 were 137,178, the highest year-end total since 2009Consumer insolvencies fell 14% in December from a month earlier, in accordance with typical seasonalityOntario recorded the biggest increase last year among provinces, with filings jumping 15.4% from 2018 levels. Alberta saw a 14.6% increase, while in British Columbia they advanced 10.3%Business insolvencies rose 2.4% in December from a year earlier, and for all of 2019 up 2.8% compared with 2018
Consumer Insolvencies Approach Record in Debt-Weary Canada
Good thing our economy is booming according to Hoid otherwise it would be looking pretty bleak
Why Canada’s consumers and businesses are going broke during ‘good’ times
And the BC government has caused the loss of how many thousand jobs since that date?