Experts Challenge Saab’s Claim to Create 10,000 Jobs in Canada
Concerns are rising regarding Saab’s assertion of creating 10,000 jobs in Canada through the potential assembly of Gripen fighter jets. The Swedish aerospace firm claims this number reflects the significant work it anticipates, contingent on the Gripen being selected for production. However, the lack of clarity around how this figure was derived has raised skepticism among experts and government officials.
Understanding Saab’s Job Projections
Saab spokesperson Jenny Gerdes noted that the job estimate correlates with anticipated global demand for the Gripen jets. She mentioned that the associated industrial program discussions are still ongoing with the Canadian government.
- The estimate is based on projected production, sustainment, and research and development activities.
- Gerdes emphasized that the estimate follows industry benchmarks and reflects the capabilities of Canadian firms.
Criticism from Defense Experts
Richard Shimooka, a proponent of the F-35 program at the Macdonald-Laurier Institute, criticized Saab’s jobs figure, labeling it “completely unrealistic.” He pointed out that this number surpasses Saab Aerospace’s total workforce in Sweden, questioning the feasibility of such job creation.
Conservative defense critic James Bezan expressed concern about the F-35 acquisition review impacting Canadian jobs. He highlighted Brazil’s partnership with Saab, which resulted in only a few hundred jobs—far less than the numbers proposed for Canada.
Saab’s Production Plans
In November, Saab CEO Micael Johansson stated that ramping up production would take time, citing Brazil’s challenges with aircraft delivery. Johansson estimated that Canada could see around 9,000 to 10,000 direct and indirect jobs from a Canadian production hub, although it would require three to five years to establish.
- Johansson insisted there is no active campaigning in Canada for Gripen jets.
- The establishment of a job base would depend on Ottawa’s commitment to purchasing Gripen aircraft.
Government’s Response
The Canadian government is currently reviewing the F-35 acquisition process, influenced partly by earlier critiques regarding Canada’s benefits from the deal. Industry Minister Mélanie Joly remarked on the necessity for greater job creation linked to the F-35 contract.
Despite Saab’s grand job projections, the Department of Innovation, Science and Economic Development Canada has stated it cannot verify the methodology behind Saab’s estimates due to a lack of information.
Expert Opinions on Job Creation
Academics and defense analysts have expressed skepticism regarding the ambitious job figures presented by Saab. Philippe Lagassé, a professor at the Norman Paterson School of International Affairs, questioned the assumptions that underpin Saab’s projections.
Ugurhan Berkok, a defense economist, acknowledged potential benefits from collaboration with Saab but doubted the accuracy of the 10,000 jobs estimate. He highlighted that the Canadian defense sector currently employs approximately 60,000 people, many directly involved in defense work.
Ongoing Procurement Review
As the review of the fighter jet procurement continues, Defense Minister David McGuinty underscored Canada’s historical engagement in the F-35 program. He indicated that failing to participate could hinder Canadian companies’ ability to compete for future contracts.
In sum, while Saab’s claim of creating 10,000 jobs in Canada captures attention, significant skepticism remains about the realities of such projections within the defense industry.
