Lack of federal work prompts Davie shipyard to lay off nearly 300 workers

TheDavieshipyard says a lack of federal contracts has forced the Quebec shipbuilder to lay off another 281 workers, raising the total number of employees out of jobs to nearly 400.

And without a "clear signal"from Ottawa, the Levis, Que.-basedcompany says another 400 employees face uncertain futures now that construction of the supply vessel Asterix has been completed for Canada's navy.

Daviewas counting on the construction of a second supply ship called the Obelix, but Ottawa closed the door a little over a week ago.

Couillard said most federal ship contracts have been given to British Columbia and the Maritimes, leaving few for Quebec.

Daviespokesperson Frdrik Boisvert said laid-off workers could be quickly recalled once the Trudeau government decides to send a "clear signal"or letter of intent for the second ship.