Ottawa plans to dangle hundreds of millions of dollars in front of car makers in a fresh bid to lure new plants, despite General Motors Corp.'s announcement -- just months after accepting a $435-million government package -- that it will eliminate thousands of jobs.
Sources say an aggressive push for new plants will be the cornerstone of the government's auto strategy that is expected to be announced in the next two weeks.
After about a decade of eschewing financial incentives for auto makers, the federal government began relaxing its approach a few years ago and has now decided monetary lures are a necessary evil.
Yep they did the same thing in the 1980's with the economic downturn when they bailed out the Big Three Auto Makers. And what do we get for this investment? Well GM takes its federal handout and lays off workers. Honda and Toyota take their handouts, and refuse to be unionized.
If you want a real auto strategy for Canada lets nationalize all of the industry, including the Stronachs non union Magna Corp, and put them under worker and community control. And while we are at it lets do the same for the steel industry which is getting bailed out by Ontario taxpayers.
Then we would have something to show for it.