As uncertainty surrounding a $15 billion arms deal involving General Dynamics Land Systems (GDLS) and Saudi Arabia continues, a London Liberal MP is reassuring the defence giant's workers no final decision has been made.
London North Centre MP Peter Fragiskatos held a news conference Tuesday to address what he calls false information that has been circulating over the past 48 hours. Fears that Ottawa is planning to scrap the lucrative deal were heightened on Sunday after Prime Minister Justin Trudeau publicly said the government might cancel the contract, a move that could cost London hundreds of jobs.
"Suspending the contract is only one possibility that is being considered, but all options are on the table, including ones that would preserve well-paying jobs at GDLS and within the local and regional supply chain," said Fragiskatos. "It is important we don't assume or guess what potential outcomes are going to be in this situation. That will only breed further uncertainty. I emphasize once again that no final decision on the contract has been made."
Fragiskatos said he has met with Trudeau and Foreign Affairs Minister Chrystia Freeland to discuss the controversial deal, that sees the London-based defence company export light armoured vehicles to Saudi Arabia.
"To all workers at GDLS and in the supply chain, I have your back. I care about you, I care about your families, and I am fighting for you every single day," said Fragiskatos.
He added that the final decision on whether or not to pull the plug on the contract will be made by Trudeau and the Ministry of Foreign Affairs, but no timeline has been given.
The deal was brokered by the former Conservative government in February of 2014. Since then numerous groups, including Amnesty International and Canadians for Justice and Peace in the Middle East have called on the Canadian government to suspend the sale due to Saudi Arabia’s human rights record and fears the armoured vehicles could be used against civilians.
Those calls have intensified since October as outrage continues to grow over the death of journalist Jamal Khashoggi, who was killed in the Saudi consulate in Istanbul.
London Mayor Ed Holder issued a statement on Tuesday that he is watching the situation closely.
"We have had extensive discussions and continue to have strong ongoing dialogue with the federal government about the GDLS contract. I am working together with the federal government to find a solution that keeps jobs in London," said Holder. "This is understandably a stressful time for employees of General Dynamics and their many suppliers. We cannot remove the uncertainty but we can be a strong advocate for them in Ottawa and can ensure that they get the facts as we learn them."
GDLS has indicated that if the contract were to be terminated, it would cost Canada billions of dollars in liability.