Bombardier in Thunder Bay could be facing a penalty of close to $50-million because it hasn’t met its obligations for the Toronto Transit Commission streetcar contract to this point.
The TTC’s Brad Ross says that’s an option the commission will be considering next month since Bombardier has already fallen short on delivering the cars.
Ross says the contract sets an August 6th deadline of 60-cars, something he says will never happen.
The company has promised to ramp up production to four cars a month starting in September.
Ross says the TTC could also choose to opt out of the contract, something which will be discussed in September.
Meantime, Bombardier has announced layoffs as a result of the broken contract.
An unknown number of people, from management to workers, have received their walking papers.
Spokesperson Marc-Andre Lefebvre says the workers who have been replaced didn’t have the quality of the project at heart.
Other changes made be the company include the hiring of a consultant to support and investing more money to improve the quality of the tools they use.
Lefebvre says it’s part of the company’s extensive review of its standards of management and practice.
