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Bombardier cutting 2,500 jobs as business jet demand falls due to pandemic

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Bombardier Inc. will cut 2,500 workers from its plane-making division as demand for the company's main source of income - private jets - plummets amid a recession and falling travel demand.

Poised to take place throughout this year, the cuts will see 1,500 layoffs in Quebec and 400 in Ontario. Some 500 more are slated for Mexico, 40 in the United States, and about 60 outside North America, according to a Bombardier spokesman.

In a statement Friday, Bombardier stressed the “extraordinary industry interruptions and challenges caused by COVID-19,” which have prompted a forecasted 30 per cent year-over-year decline in business jet deliveries industry-wide. Bombardier recently sold its commercial jet businesses, which supplied planes to airlines, and agreed to sell its rail business to French rail giant Alstom SA, subject to approvals.

 

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