Executives urge Ottawa to act fast on defence investment to spur jobs, growth, and long-term returns
Executives from Bombardier, ATCO, and OMERS are calling on the federal government to prioritise rebuilding Canada’s defence sector.
They describe it as an overdue opportunity to drive job creation, economic growth, and long-term domestic returns.
Speaking at a Canadian Club Toronto event on Tuesday, the leaders called on Prime Minister Mark Carney’s government to move quickly in coordinating with industry, labour, academia, and financial institutions.
Nancy Southern, chair and CEO of ATCO, said, “We don’t have any time to waste. We’ve been navel gazing for the past 10 years.”
She added that rebuilding domestic defence industries may be the “best way to kickstart the economy and get productivity and prosperity back into our concepts and thinking.”
The leaders also framed the moment as an inflection point for Canadian investment strategy.
Blake Hutcheson, CEO of OMERS, which manages $138bn and invests 19 percent of its portfolio in Canada, said the country has failed to meet its NATO and NORAD commitments.
“We’ve let down our allies everywhere. We’ve let down our country everywhere,” he said. “We’ve got to show up.”
Hutcheson emphasised that OMERS is “all in, in Canada,” but added that major pension funds must balance risk, reward, and diversification to protect pensioners.
Bombardier CEO Éric Martel said Canada already has core strengths to build from.
“First of all, we have the skill set,” he said, citing engineering schools and skilled trades in aerospace.
He added that if Canada succeeds in scaling defence, “it’s going to be job creation in the country, and they’re good jobs.”
Each company on the panel has a direct stake in the outcome of any renewed government push.
Bombardier manufactures military-grade aircraft, ATCO operates Arctic radar stations and provides services for military operations, while OMERS and other Canadian pension funds are under pressure to allocate more capital domestically.
The discussion took place the same day as the federal government’s Throne Speech, which confirmed Canada’s participation in the European Union’s ReArm Europe initiative.
The EU has approved a $234bn loan facility for joint weapons procurement to scale up defence production in response to geopolitical risks.
Martel expressed confidence that Canadian capital is available to support such an expansion.
“The capital exists in Canada. It’s a question of willingness and priority and deciding to say this is what we’re focusing on,” he said. “We’re going to get it done.”
Southern said the federal government should urgently bring together businesses, labour groups, investors, military experts, academics and the Bank of Canada to design a plan, then “send us all away to figure it out.”
Goldy Hyder, president and CEO of the Business Council of Canada, said there has been encouraging early engagement with the business community.
He added, “This is not about the short term. It’s very much about getting it right for the long term.” Hyder said there is an opportunity to do so “with this government and with this Prime Minister.”
