What they said
vs. What really happened
Broken Promises on Record
NDP Promised 500 Jobs, But Delivered 66 at DSMEprev nextThat's what we call... A Broken Promise
What they said...Upon announcing $60 million dollars to DSME Trenton, Darrell Dexter proclaimed: “We’re fortunate to have such a solid partner … I look forward to attending more groundbreakings in the future within and beyond Nova Scotia as DSTN hits its stride.”
He added, “I look forward to many years of working alongside all of you to make this venture a success.”
Economic development minister Percy Paris spoke at the event: “This is an important milestone in this partnership. DSME Trenton will create hundreds of secure jobs that our economy needs. This facility will also position Nova Scotia as a global leader in renewable energy and the green economy.”
For its $60 million, the province took a minority stake in the operation and claimed the venture would create 500 jobs.
What really happened...After making such large promises and handing over $60 million, DSME announced two rounds of layoffs.
On December 16, 2011, the Chronicle Herald reported, “About 40 temporary workers have already been laid off and a number of permanent workers could be handed pink slips in early 2012.”
The second round of layoffs forced more out of the workforce.
Following that announcement, on May 25, 2012, the New Glasgow News reported more layoffs: “A slowdown in market conditions has forced a local plant making towers for wind turbines to lay off 26 workers Friday.”
This meant the company that received $60 million dollars laid off 66 Nova Scotians.
The current workforce at DSME Trenton is now 66 people, almost $1 million per job, and only 39 of those are involved in production.
The area’s economy is also struggling.
In the two years following the announcement of the DSME cash, the number of unemployed by more than 13 per cent, and the unemployment rate rose by more than six per cent.
$60 million to a foreign company bought the government a minority stake in DSME, saw unemployment skyrocket, and the community gain a tiny fraction of the jobs originally promised to justify spending $60 million. This is how economic development minister Percy Paris defines a "smart investment."
© 2012 NS Liberal Party