The Canadian federal government says it will seek a legal opinion on whether Air Canada broke any obligations that led to the closure of Aveos Fleet Performance Inc. A House of Commons committee was also convened on Tuesday to look into the closure and whether it means the former Crown corporation is in violation of the Air Canada Participation Act, the legislation introduced when it became a private company.
But the government added that: there won’t be any bailout for Aveos saying: “It’s a business decision involving two companies. We’re not contemplating a bailout for Aveos or Air Canada.”
Hundreds of ex-Aveos employees protested outside Parliament on Tuesday for a second day, with many of them accusing the government of inaction in the wake of widespread job losses. Quebec Premier Jean Charest has threatened to sue the federal government and Air Canada.