Bombardier is juggling challenges on several fronts in Canada, missing a delivery deadline for a transit project in Toronto and temporarily suspending production of its Global business jets.
Bombardier Transportation says it will deliver a light rail prototype for Toronto’s Eglinton Crosstown transit line in two to three weeks after missing an Aug. 31 delivery deadline.
— BombardierRail (@BombardierRail) August 31, 2016
The company says the prototype delay has no impact on delivery of trains for the US$5.3-billion transit line, which is expected to enter service in 2021.
Meanwhile, the aerospace and railway manufacturer says it plans to place workers at its aircraft completion centre in Montreal on furlough for an unspecified amount of time next year.
A company spokesperson called it a “minor adjustment” to manage costs and address a sluggish market for corporate jets.
He declined to specify how long the suspension of Global jet production would last.
The company informed the completion centre’s 1,900 workers of the proposed changes on Wednesday.
Last year, Bombardier said it would cut production of the Global 5000 and 6000 models from 80 to about 50 per year.
Bombardier is also far behind on Toronto’s streetcar order. The TTC is applying for damages under the terms of its contract for the streetcar delay.