Yesterday I wrote that Ontario PC Leader Tim Hudak was right to suggest that the McGuinty Government’s tax and related policies were not sending the message that Ontario was open for business. As the header on the Toronto Sun article stated: Ontario business climate pushed Caterpillar out!
Well, it appears that the demands of the CAW and some media coverage of the issues surrounding EMD (Electro-Motive Diesel) and Caterpillar are, even if not deliberately undermining Ontario’s marketability, making sure Ontario stays closed. For example, as Blame Crash wrote in a comment on yesterday’s thread:
“All this fire breathing commentary from the left-wing politician’s, media and unions that is being spewed at Caterpillar and, by extension, all manufacturers and business, is absolutely toxic for the economy. It actually makes it easier for businesses to make the hard decision to pull up stakes and move somewhere a little more hospitable. After all, it’s pretty obvious that they are hated and despised. Same goes for businesses that are thinking about setting up in Ontario.How can these characters not see that? They are blinded by their ideology. They know not what they do.“
However, it is what Andrew Coyne has to say today in the National Post about Caterpillar and EMD that is perhaps the most explosive. Certainly great investigative journalism!
Coyne tells how journalists have allegedly been exaggerating and misleading the public as to the ownership of the company and equipment. (H/T Catherine, a regular reader). Here, for example, is a sampling of what Coyne has written:
“It’s a compelling story – foreigners buy “our” plant, steal “our” technology, and all with our money! Except:
– EMD is not a Canadian company, and never was. Caterpillar bought it from a pair of American private equity firms in 2010; they bought it from General Motors in 2005, who bought it from its Ohio-based founders in 1930. Since 1935 it has been headquartered in La Grange, Ill. The London branch plant was opened in 1950.
– Caterpillar didn’t buy the London plant. It bought the whole company, including its La Grange operations, which is where EMD does its design and engineering work, as well as making parts. It seems unlikely it would have stashed its most valuable intellectual property at a far-off final assembly plant.
(Incidentally, as the economist Michael Moffatt points out, GM moved all final assembly work to London from La Grange shortly after the Free Trade Agreement went into effect. The jobs we’re worried about losing to the U.S. are jobs we took from them.)”
And, then there is this paragraph:
“- EMD never received any subsidies from the federal government; certainly not since Caterpillar bought it. Indeed, looking through the hundreds of pages of “grants and contribution” in the Public Accounts, it may be the only company in the country that didn’t. The Harper visit to which Olive refers was to promote a tax break for the purchasers of locomotives, not the manufacturers. The visit occurred in 2008, two years before the Caterpillar purchase.” [My highlighting.]
Wow! Has the Canadian public ever been duped! Any doubts? Check out this Google page.
Which makes what Hudak said yesterday even more important, as well as yesterday’s threat of occupation by the CAW that much worse!!! Clearly, those kinds of threats and demands are not conducive to making Ontario open for business.
- Some have told they have had trouble leaving comments. If that is the case, please send me a message via my Contact Form. In the meantime, I have put in a request for support from wordpress.com.
- I just noticed that the Vancouver Secrets blog also wrote about this topic today. Check it out here.
- C/P at Jack’s Newswatch.