The provincial government in Ontario says it’s investigating to determine whether Navistar violated any funding agreements when it announced the permanent shutdown of the International truck assembly plant in Chatham.
“With the announcement of the immediate permanent closure of the Navistar truck facility in Chatham, Navistar has failed to meet their commitments under the agreement they signed with the Ontario government in 2004,” Member of Parliament Pat Hoy told the Windsor Star.
“Navistar has been notified they have failed to fulfill their obligations and therefore our government will be pursuing our right to recover funds as outlined in our agreement with Navistar. While it is unfortunate that Navistar has made this irresponsible decision we must continue to act in the best interests of taxpayers and recover public funds that were intended to provide support to a vital industry over the long term in Chatham.”
Navistar received $65 million in government grants in 2003 as an incentive to keep the Chatham plant open. It also got $41 million in concessions from workers.