CAE has recalled all 1,500 of its employees temporarily laid off in Canada, the company announced today. It cited a need to bring back employees providing essential services and a government relief program in assisting with that effort.
The training specialist earlier this month had expanded its temporary layoffs to 2,600 workers globally and took other measures such as reduced workweeks and salary cuts as it faced business losses and uncertainties associated with the Covid-19 pandemic. Globally, CAE employs about 10,500.
In announcing the layoffs on April 6, CAE said it was seeking government emergency relief to mitigate the financial impact and said as assistance programs are finalized, “CAE will do everything it can to recall as many employees as possible.” CAE credited the Canada Emergency Wage Subsidiary program, which was approved by the Canadian House of Commons on April 11, in helping to enable the recalls. The program includes temporary salary assistance. CAE said the vast majority of the recalls are in Montreal.
Meanwhile, CAE continues to progress on its CAE Air1 ventilator and hopes to begin delivery early next month to health authorities for certification. Earlier this month, the company announced it had developed a “simple, maintainable, easy-to-manufacture” ventilator prototype. The company signed a contract with the government of Canada on April 10 to manufacture and supply 10,000 ventilators.