Nathan VanderKlippe
Northern News Services

Yellowknife (Apr 24/02) - A city councillor is suggesting the city boycott First Air until it reverses its plans to send 24 jet flight attendant jobs to Edmonton.

"We need to make a strong statement to First Air that we don't approve," said Coun. Wendy Bisaro. Speaking in the priorities, policies and budgets committee meeting, she added: "We do have control over whether or not we use their services -- whether or not we wish to boycott."

While the boycott suggestion didn't get far, in a remarkable display of speed in municipal policy-making, councillors discussed and passed a motion opposing First Air.

Normally divided along sharply-drawn ideological lines, councillors linked arms this Monday, voting unanimously on a resolution to "oppose the actions of First Air in moving employees that serve Northerners to southern Canada."

The city will inform First Air of the results of an economic development study looking at the financial impact of moving the jobs south. The city will send the airline and different levels of government a letter containing information on the study and suggesting that Northerners prefer to fly with an airline that is run by Northerners.

Even the staunchly conservative councillors joined the vote.

"I believe that government should stay out of the decisions of private business," said Coun. Alan Woytuik. "But I retain my right to express my opinion on them."

"I think it's a real tragic occurrence when something like this happens and families are affected and they have to look at relocating kids and schools," said Coun. Dave Ramsay.

Councillors softened the motion at the Monday council meeting, changing the wording from "condemn the actions of First Air" to "oppose the actions of First Air."

The council resolution comes a day after First Air rejected a quartet of requested changes to the decision to move. Flight attendants and their union have been lobbying non-stop for the changes since the layoffs were announced three weeks ago.

Layoffs by the numbers

A growing body of data is beginning to peg down the financial ramifications of the First Air decision. A community impact study drafted by the Canadian Union of Public Employees calculated the company would lose $20,083 in the first year of the restructuring.

In following years, the union suggests the airline will save about $80,300 a year.

First Air disputes those figures. Spokeswoman Tracy Beeman said the $20,000 figure "does not make sense to First Air."

But she would not comment on the estimated $80,000 in savings, saying, "I can't give you actual numbers. I can just tell you that overall, the reason for the decision is a better use of manpower and resources."

The city estimates a loss of $395,000 in annual spendable income from the loss of full-time jobs. That number could climb to $600,000 or higher if part-time jobs are included, said city economic development director Peter Neugebauer.

That means, combined with an estimated $440,000 annual loss in federal transfer payments, the North could lose over a million dollars because of the decision.

Asked if there is any hope of the airline changing its mind, Beeman said, "No, the reasoning we have used to make these decisions still applies."