BRP invests $118 million in Quebec manufacturing plant
- December 3, 2015
BRP, Bombardier's recreational products business, plans to invest $118 million in its Valcourt, QC manufacturing operations within the next five years to modernize the operation.
BRP Inc.,, which trades on the Toronto Stock Exchange, plans to strengthen the manufacturer's competitiveness through a complete transformation and modernization to optimize its manufacturing infrastructure and logistics.
"With these investments, BRP aims to provide its Eastern Townships facilities with cutting-edge tools and technologies to further increase its efficiency and its talent in terms of innovation, engineering and manufacturing, all while keeping quality jobs in Quebec," says BRP's president and CEO José Boisjoli.
In addition to the announced investments, BRP's Valcourt production site will review all its work methods to make them more flexible and agile, as well as the working conditions of its employees in technical and administrative sectors. A comprehensive analysis performed as part of this investment project has shown that many BRP employee groups in Quebec have a higher salary than those of competitors in North America or comparable Quebec companies outside Montréal.
Faced with this situation and wanting to maintain quality jobs in the long term, management announced a three to five-year pay freeze for all employees working in manufacturing and in technical and administrative sectors, representing 60 per cent of BRP staff working in Valcourt. This pay freeze will take effect from the next fiscal year, beginning on February 1, 2016.
"In recent years, globalization and the growing pressure of the competition in our markets have led us to relocate a number of our operations to Mexico. These same factors are urging us today to make an in-depth review of our methods. In order for us to have the necessary agility to remain competitive and consolidate the role of our Centre of expertise in design, research, development and manufacturing operations in Valcourt, and to ensure that our investments generate the anticipated benefits, they must be accompanied by an overhaul of our working conditions in areas where market deviations are too great," saud Boisjoli to employees gathered in a meeting on December 2.
The implementation of this investment plan will begin in early 2016 with the installation of new ultramodern production equipment for the Can-Am Spyder and Ski-Doo assembly lines.
BRP manufactures powersports vehicles and propulsion systems. Its portfolio includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft, Cam-Am all terrain and side-by-side vehicles, Cam-Am Spyder roadsters, Evinrude and Rotax marine propulsion systems, and Rotax engines for karts, motorcycles and recreational aircraft.
Ski-Doo, Lynx, Sea-Doo, Evinrude, Rotax, Can-Am, Spyder and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners.