Bombardier receives the 10-year Metrolinx contract

Bombardier landed a contract that will see the local plant build 182 light-rail vehicles, which could amount to an average of 250 jobs for the local plant over a 10-year period.

About 750 people gathered at the local plant to hear the official announcement Monday morning. Ontario’s Transportation Minister Kathleen Wynne appeared at the news conference and said Ontario would invest $770 million to help have vehicles built for the Metrolinx in the Toronto area.

Monday’s contract announcement is in addition to the $1.2 billion light rail contract that was announced last year for the Toronto Transit Commission. Work for the Metrolinx project will begin immediately, said president of Bombardier Transportation North America Raymond Bachant.

"The work has started today," Bachant said. "We had a meeting today … so we’re already gearing up because we need to start right on time so that we can deliver on time."

The project could amount to an increase of about 250 jobs on average over a 10-year period for the local Bombardier plant.

The 28-metre long vehicles are being built for Metrolinx and will be used on four new transit lines that are currently being developed in Toronto. If those projects are expanded it is possible another contract will be required for another 118 vehicles.

Part of the 10-year project is a 25 per cent Canadian content requirement. Bachant said they're planning on going beyond that 25 per cent minimum, however, he added that it was too early to say how much Canadian content would be used for the Metrolinx project.

"Bombardier is committed to go beyond the 25 per cent Canadian content," Bachant said during the news conference. "So we will look at expanding that. We cannot commit (a specific percentage) at this point, we are going to have to explore that."

CAW Union Local 10-75 President Paul Pugh said they've been pushing for this kind of contract for about five years, and said although Monday’s announcement is great news, there’s still more that could be done.

"We’re not finished because the order today, although it is welcomed, it is not the full order for the light rail vehicles," Pugh said. "So, while we welcome this, it’s not over and we’re going to keep on signing cards and sending letters."

Pugh added that this contract helps the plant established long-term contracts. Those long-term contracts gives the company incentive to invest in the plant itself.

"And investment in the plant is absolutely essential to keep this operation going," he said.

The first vehicle of this project is expected to go into use by 2014.