General Motors and Chrysler are expected to request more aid money when they release their Canadian turnaround plans, and Ontario will do everything it can to meet those demands, Premier Dalton McGuinty said yesterday
“We know that there are going to be more asks involved,” said McGuinty. “We know that we’re going to have to do more to help support the sector.”
The struggling automakers are now asking the U.S. for a staggering $39 billion in government loans and are cutting 50,000 jobs in an effort to turn operations around.
When Canada announced $4 billion in emergency aid in December, both McGuinty and Prime Minister Stephen Harper indicated there would be a second phase that focused on the long-term viability of the automakers.
The companies are making a second round of Canadian demands tomorrow — and some estimate that means taxpayers will be on the hook for billions more.
Ontario will have to wait and see what’s in the Canadian plans, McGuinty said, but acknowledged his government will have to do more for the auto sector.
McGuinty called the apparent survival of Canadian jobs so far “relatively good news” but added the auto industry remains unstable and more restructuring can be expected.
