Montreal

Lack of federal work prompts Davie shipyard to lay off nearly 300 workers

The Davie shipyard says a lack of federal contracts has forced the Quebec shipbuilder to lay off another 281 workers, raising the total number of employees out of jobs to nearly 400.

Without a 'clear signal' from Ottawa, another 400 employees face uncertain futures, company says

The Resolve-Class naval support ship Asterix is unveiled at a ceremony at the Davie shipyard in Levis, Que., on Thursday, July 20, 2017. Hundreds of people have been laid off from the company due to what they say is a lack of work from the federal government. (Jacques Boissinot/Canadian Press)

The Davie shipyard says a lack of federal contracts has forced the Quebec shipbuilder to lay off another 281 workers, raising the total number of employees out of jobs to nearly 400.

And without a "clear signal" from Ottawa, the Levis, Que.-based company says another 400 employees face uncertain futures now that construction of the supply vessel Asterix has been completed for Canada's navy.

Davie was counting on the construction of a second supply ship called the Obelix, but Ottawa closed the door a little over a week ago.

The move prompted a protest on Sunday that attracted the participation of Quebec Premier Philippe Couillard and his political opponents.

Couillard said most federal ship contracts have been given to British Columbia and the Maritimes, leaving few for Quebec.

Davie spokesperson Frédérik Boisvert said laid-off workers could be quickly recalled once the Trudeau government decides to send a "clear signal" or letter of intent for the second ship.