Bombardier announced that it will take steps to optimize its workforce with a combination of a manpower reduction and strategic hiring throughout 2016 and 2017. As the company evolves over the next two years, its global workforce will be reduced by a targeted 7,000 production and non-production employees, including 2,000 contractors. This reduction will be partially offset by hiring in certain growth areas, notably to support the ramp-up of strategic programs and projects worldwide, such as the C Series. These adjustments will enable Bombardier to resize its organization in line with current business needs and to increase its competitiveness.

The decision to optimize the organization is based on an in-depth review of the company carried out over the past year: as previously communicated, production rates have been modified for some aircraft models due to macroeconomic conditions. As a result, Bombardier is adapting its workforce to meet market demand. Major aerospace development programs and projects at Transportation, which mobilized numerous employees, are ramping down as expected. Bombardier is resizing its manpower to match future workloads. Finally, the company’s transformation plan is taking hold, driving productivity across the entire organization. 

In parallel, Bombardier intends to hire in certain growth areas: The C Series aircraft program continues to ramp up its production rate and to win orders, generating new jobs at the Bombardier facility in Mirabel, Quebec. The reductions will begin in the coming weeks and will be implemented over a period of two years. Throughout 2016, on a full year basis, Bombardier expects to record $250 million to $300 million in restructuring charges that will be reported as special items when accrued.

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