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House prices in Canada’s largest cities expected to drop amid ‘severe declines’ in sales, construction: CMHC – Globalnews.ca

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Canada Mortgage and Housing Corp. expects a drop in home prices in the country’s biggest cities amid “severe declines” in home sales and construction.

The federal housing agency says a combination of factors related to the pandemic, such as higher unemployment and lower income, will slow housing starts and push sales and home prices below pre-COVID-19 levels.

READ MORE:
Canada’s unemployment rate reaches record 13.7%

CMHC says the market likely won’t see a return to pre-pandemic levels before the end of 2022.

Average home prices in Toronto, Montreal and Ottawa are expected to rebound sooner, starting in late 2020 and rolling into early 2021.

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Prices in Vancouver, Edmonton and Calgary likely won’t rebound until later in the forecast period, it added.

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The report found in Vancouver, resale markets will pick up again next year.

Average house prices will decline gradually over the next two years before showing some recovery in late 2022, the report added and the decline in migration to Vancouver is expected to result in an increased supply of rental units.

READ MORE:
Canadian homes prices could drop up to 25% in some regions: CMHC

Calgary and Edmonton will see average home prices decline, it said, due to uncertainty around oil prices and economic recovery in the region.






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Kenney says Alberta should be ‘cautiously optimistic’ about economic future


Kenney says Alberta should be ‘cautiously optimistic’ about economic future

CMHC deputy chief economist Aled ab Iorwerth says COVID-19 had “unprecedented impacts” on the country’s urban centres.

“Short-term uncertainty will lead to severe declines in sales activity and in new construction,” he said in a statement.

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“As the virus is overcome, cities will bounce back but there is significant uncertainty with respect to the path and timing of the recovery.”

-with files from Janet Brown

© 2020 The Canadian Press

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Via Rail to lay off 1,000 employees amid coronavirus disruptions – Globalnews.ca

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Amid ongoing travel restrictions and concerns about the novel coronavirus, Via Rail is planning 1,000 temporary layoffs, according to an internal email sent to employees on Wednesday afternoon by the railway company’s CEO Cynthia Garneau.

The announcement comes at a time when the national passenger rail company continues to experience service disruptions across most of its regional and national routes, including cancellation of all trains between Montreal and Halifax, and Toronto and Vancouver until at least the beginning of November.

Garneau explained in her email that members of Via Rail’s management could also be affected by layoffs.

Read more:
Via Rail suspends some train service amid coronavirus outbreak

The company has cited uncertainty about COVID-19 as a reason for offering reduced booking options on some routes until at least the end of this year.

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In her email, Garneau noted that Via Rail had previously reduced and suspended services in March, based on a ridership decrease of more than 95 per cent, and that the company doesn’t anticipate ridership to rebound in the foreseeable future.

“We have had to make difficult decisions to deal with the situation as we gain a better understanding of the impacts of the pandemic on our operations,” she wrote.

Garneau also noted that the company has attempted to mitigate impacts of the pandemic on its workforce by allowing some to work full-time, part-time or to get paid at home while their work was suspended.

“Via Rail is now forced to reconsider its approach in order to further adjust to the increasing financial impacts this crisis has had on the company. Therefore we need to make TEMPORARY layoffs that could affect all types of employees,” she wrote.

“Some measures will also affect management and professional employees. A few scenarios are under consideration and we will get back to you quickly, no later than the end of July.”

She said that the company would be sending 1,000 layoff notices, after giving written notice to unionized employees with Unifor who could exercise displacement rights under their collective agreement.






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Via Rail banks survival on high frequency rail project


Via Rail banks survival on high frequency rail project

Global News also obtained a copy of some “key messages” prepared for Via Rail management to deliver to the employees in order to give them notice of the layoffs.

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In the suggested messages, management was advised to tell some employees that they would only be temporarily affected and receive 70 per cent of their usual salary “to ensure a rapid return to service even if there is no need for them to be called back to work immediately.”

Garneau’s email and the internal messages both indicated that the layoffs would come into effect on July 24, following a formal notice that is required under the company’s collective agreement with its union.

Read more:
Coronavirus: Via Rail announces new service suspensions amid COVID-19 pandemic

The news comes at a time when many Canadians are wondering how long job losses and high unemployment rates due to COVID-19 will continue. It also comes amid growing concerns about increased deficits and the government’s ability to provide financial stimulus in the future.

“Via Rail will continue to work on progressing its service resumption plan as the situation evolves with the goal of reintegrating its employees as soon as the customer demand allows it,” Garneau said in her email.

“Until then, your managers are there for you if you have any questions or concerns. We are going to go through this difficult period, and, once passed, I am confident that we will be in a position to reacquaint ourselves with growth and opportunities.”

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Global News contacted Via Rail for comment. A spokesperson replied with a statement that confirmed the layoffs along with a summary of the company’s reasons for taking this action.

Via Rail is owned by Canadian taxpayers but operates at arms length from the federal government.

The office of Transport Minister Marc Garneau said in an email that the government would “continue to work with Via Rail to find solutions and support workers and their families in these unprecedented times.”

© 2020 Global News, a division of Corus Entertainment Inc.

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Via Rail cutting about 1,000 jobs amid struggles over COVID-19 pandemic – CBC.ca

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Via Rail is temporarily laying off approximately 1,000 unionized workers, citing the COVID-19 pandemic’s impact on the travel industry.

“Unfortunately, as we don’t anticipate ridership to be back to pre-COVID-19 levels in the foreseeable future, we have had to make difficult decisions to deal with the situation as we gain a better understanding of the impacts of the pandemic on our operations,” CEO Cynthia Garneau said in a statement Wednesday.

The layoffs will take effect on July 24, the Montreal-based company said. Via Rail’s website says it employs more than 3,100 people.

In March, Via Rail halted some routes and extended some previous cancellations in response to the pandemic.

The company had previously temporarily laid off about 1,000 employees in February in response to rail blocklades by demonstrators opposed to construction of the Coastal GasLink pipeline on grounds that it would run through the hereditary land of the Wet’suwet’en people.

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Air Transat to use jet fuel made from captured carbon dioxide – CBC.ca

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Air Transat is looking to reduce greenhouse gas emissions from its airplanes by using jet fuel made from kerosene in a process that captures carbon dioxide produced by large industrial emitters.

The Montreal-based airline has signed an agreement with SAF+ Consortium, which is finalizing the fabrication of a pilot plant in Montreal to make the kerosene.

The kerosene is then converted to synthetic jet fuel which is estimated to have an 80 per cent lower carbon footprint than conventional jet fuel.

Air Transat says it will buy a significant portion of the future sustainable aviation fuel (SAF) production.

Airline president Jean-Francois Lemay says the airline is committed to offering passengers a low carbon footprint travelling experience while achieving its environmental obligations.

SAF + Consortium chief technical officer, Alexandru Iordan, says demand for sustainable aviation fuel will almost double annually for the next 30 years.

“So, solutions such as the production of SAF in Montreal will put Quebec-Canada on the map while providing great jobs for the future,” said Iordan.

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