In a single day in 1959, the Toronto Daily Star reported that almost 14,000 people were laid off in Milton, Ontario. The cause of this was the cancellation of the Avro Arrow, a Canadian made supersonic jet interceptor built to protect Canadian airspace from Russian bombers. As it was the Cold War, when Canada and the United States were in fear of communist expansion, counter measures were necessary to protect its citizens. Although the federal government under Prime Minister John G. Diefenbaker, decided that Canada was no longer in threat of foreign attacks, Diefenbaker made the wrong decision to cancel the Arrow project. By doing this, he removed a vital future addition to Canada’s national defense through supporting the Royal Canadian Air …show more content…
However, the government did not realize that the Arrow and its part were all made in Canada, and its primary operator would be RCAF, hence all the money spent on the aircraft will stay in Canada. Along with that, the production will involve Canadian experts in aviation, who would contribute to advance technology in the country. At that time, such features could not be found in the U.S., Britain, or France. When the Arrow was cancelled, the government purchased American made missiles and aircraft. Although the U.S. government paid $91 million of the $110.8 million needed to build BOMARC bases, the money spent will be taken from Canadian hands, whereas, the Arrow would have kept the money in the country. Also, if the Arrow was brought into service, other countries would have recognized its superior technology and would order the aircraft, bringing more money into Canada. Although the Canadian government impulsively accepted the U.S. products, the American government refused to buy aircraft from Canada to prevent lobbying from American manufacturers. Once the Arrow was scrapped, more than 14,000 employees were laid off from Avro Canada, which also affected its 600 subcontractors in Canada and led to 30,000 people being laid off. Along with losing money, Canada lost many of its greatest scientists, engineers, and workers to foreign companies. The National Aeronautics and Space Administration (NASA) of the United States had become the largest employer of Avro employees. They were hired by NASA to use their experience and knowledge to make great contributions to the Mercury, Gemini, and Apollo missions. Notable employees include Jim Chamberlin who became the head of engineering, R. Bryan Erb who created the Apollo heat shield, and Owen Maynard who became NASA’s chief of systems on the Apollo mission.