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FOR IMMEDIATE RELEASE                                   November 8, 2002

National Defence takes the off ramp:

military supply chain to stay in Canadian hands

OTTAWA - “The decision by the Department of National Defence to take the “off ramp” away from privatization and to keep the military supply chain in Canadian hands is the right thing to do,” says Public Service Alliance of Canada (PSAC) National President Nycole Turmel. National Defence officials have advised the union that the federal government has decided against turning over the military supply chain to a British based multinational firm, Tibbett and Britten Group.

“The union has been very vocal in challenging the large savings promised by Tibbett and Britten,” according to Turmel.  “Our Armed Forces shouldn’t have to worry about depending on a supply chain with weak links.  Ultimately, the only way Tibbett and Britten could produce the savings they promised would be to cut personnel and to cut corners wherever they could.” 

“National Defence has recognized, before it was too late, that Tibbett and Britten’s promised savings were definitely exaggerated,” says PSAC Regional Executive Vice-President for Quebec, Jérôme Turcq.  “There was nothing to be gained by privatizing and much to be lost, including accountability to Canadian taxpayers.”

According to John MacLennan, National President of the PSAC’s Union of National Defence Employees (UNDE), “military logistics is recognized as a core responsibility.  The decision not to privatize this responsibility is a good one.”

“Our members are very pleased that their valuable work is being recognized.  Experiences with other private sector operators, such as the one with the GTS Katie, have left the Canadians Forces high and dry.  Not doing military supply right can have serious consequences for all military operations including international peacekeeping operations and during natural disasters at home,” says MacLennan.

The PSAC and UNDE have been campaigning against the Supply Chain Project for months.  TV, radio and newspaper ads, leaflets, demonstrations, letters to and meetings with Members of Parliament and appearances before the House of Commons Standing Committee on National Defence have delivered consistent messages - the Supply Chain Project is not in the public interest, it won’t save money and it is in conflict with Canada’s security goals. 

“The National Defence Supply Chain is already a very efficient organization,” says Turmel.  “The workforce is well trained and experienced and work practices are described as being second to none.  Industry best practices and ongoing training are well established.  Changes undertaken in the 1990s have ensured that the supply chain is a lean, competitive organization.  Tibbett and Britten’s experience, on the other hand, is in retail-oriented warehousing, only a small part of what military logistics is all about.”

“Our members are able to do the job effectively and economically,” concludes Turcq, “and their collective agreement salaries and benefits ensure a stable workforce. We have said all along that savings can be found from further internal economies and the union is prepared to work closely with National Defence in its review of the supply process.”

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For information:         Nycole Turmel, PSAC National President, (613) 560-4330

                                    John MacLennan, UNDE National President, (613) 852-3542 (cell)

                                    Jérôme Turcq, PSAC Regional Executive Vice-President (Québec)

                                    (514) 875-2690

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