Nathan VanderKlippe
Northern News Services

Yellowknife (May 03/01) - Both First Air and the City of Yellowknife are promising more congenial relations in the future.

And First Air brass is expressing regret about the way recently-announced layoffs were handled.

"We made an error. We should have discussed this more with public officials," said company president and CEO Bob Davis.

Soft words between the two sides come just a week after city councillors unanimously passed a condemnatory resolution opposing the airline's restructuring.

Now both sides are pledging to discuss any future changes before they are announced and, in Mayor Gord Van Tighem's words, be more proactive and less reactive.

As of June 1, a dozen First Air flight attendant positions will be sent to Edmonton, while another 15 will be laid off. First Air cites deflated business after Sept. 11, and a need to remain efficient as reasons for the layoffs.

Asked why the layoffs came months after Sept. 11, Davis said: "It was one of the issues we didn't get to until this point," he said. "We regret that we waited."

Davis was in Yellowknife earlier this week shaking hands and talking with city officials, the business community and the GNWT.

He left very little doubt that the company might change its mind, emphasizing the need for the restructuring and saying it would result in "significant cost savings."

Union standing firm

But First Air union officials, who are still rounding up signatures for a petition opposing the changes, aren't backing down.

"We're not done yet. We're going to keep working," said Stephen Tomkins, president of the Canadian Union of Public Employees Local 4021.

Davis' arrival marks some of the first discussion between Yellowknife officials and First Air since the layoffs were announced.

After hearing from him, city councillor Wendy Bisaro said council passed the resolution without hearing the case presented by First Air management.

"We were bullied or pressured into it to some extent (by the First Air union and flight attendants)," she said.

Van Tighem said he doesn't necessarily regret the resolution. But, he said, "we also have to recognize their contributions."

Coun. Robert Hawkins agreed. "As a councillor our mandate is still to the citizens of Yellowknife and what's good for the community. The city doesn't have the right to tell business what to do, but expressing our concern, I don't think we crossed the line," he said.

Davis emphasized the company's commitment to the North, saying First Air spends $1.6 million annually in cash and in-kind donations to NWT charities -- $750,000 to Yellowknife.

But Davis had pointed words for those who wondered whether this batch of layoffs might be a precursor to future moves.

"We do take some exception when First Air's commitment to the North is put in question," he said.

He added: "We ain't leaving."

Hawkins suggested that governments, especially the GNWT, must do more to help businesses in the North.

"Our lack of action at times could lead to these problems," he said. "Without the supporting mechanisms from the senior levels of government, these companies can't do it all on their own. And this is the result we end up with."