Saab's 10,000 Fighter Jet Job Offer in Canada Faces Scrutiny Amid F-35 Review

Saab's Job Offer Under Question

Swedish aerospace and defense company Saab is facing scrutiny over its offer to generate 10,000 aerospace jobs in Canada, contingent on the selection of its Gripen fighter jets for the country's military fleet. The proposal has emerged amidst Canada's ongoing review of its plans to acquire up to 88 F-35 stealth fighters from American manufacturer Lockheed Martin.

Saab's offer includes the establishment of a new production hub in Canada, along with significant investments in research and development, and sustainment activities. According to Saab spokesperson Jenny Gerdes, the 10,000-job estimate reflects the 'scale of work' the company anticipates bringing to Canada, based on projected global demand for the Gripen. Saab CEO Micael Johansson indicated that a Canadian production hub could take three to five years to establish, potentially creating 9,000 to 10,000 direct and indirect jobs for decades.

Critics Express Skepticism

However, the validity of Saab's job creation figures has been challenged by several critics. Richard Shimooka, an F-35 proponent at the Macdonald-Laurier Institute think tank, dismissed the figure as 'completely unrealistic,' suggesting it would exceed Saab Aerospace's entire workforce in Sweden. He characterized the claim as 'make-believe.'

Conservative defence critic James Bezan, a supporter of the F-35 purchase, has voiced concerns that the review of the F-35 deal could jeopardize existing Canadian jobs within the F-35 supply chain. Bezan pointed to Brazil's partnership with Saab, which he noted resulted in only several hundred domestic jobs, 'not the numbers that get thrown around here.' Additionally, Philippe Lagassé, an associate professor at the Norman Paterson School of International Affairs, and Ugurhan Berkok, a defence economist at the Royal Military College, have expressed skepticism, questioning the assumptions behind the 10,000-job figure and deeming it 'very high' for Canada's defence sector.

Context of Canada's Fighter Jet Procurement

The debate over Saab's offer is set against the backdrop of Canada's ongoing review of its fighter jet procurement. The Canadian government, under Prime Minister Mark Carney, initiated a review of the F-35 purchase in March 2025. Industry Minister Mélanie Joly has publicly stated that Canada did not receive sufficient industrial benefits from the F-35 deal, emphasizing the government's interest in Saab's offer while requesting 'more details' to assess its potential benefits.

In a 2021 evaluation by Canada's Department of National Defence, leaked data revealed that the F-35 significantly outperformed the Gripen-E in military capabilities, scoring 95% compared to the Gripen's 33%. Despite this, Canada's recent decision to join the EU's Security Action for Europe (SAFE) program could potentially support Gripen procurement and align with Ottawa's aim to reduce reliance on US-manufactured systems.

Saab has partnered with Canadian companies including IMP Aerospace & Defence, CAE, Arcfield Canada (formerly Peraton Canada), and GE Aviation, and plans to establish a Gripen Centre in Montreal, a Cyber Resilience Centre in Toronto, a Sensor Centre in Vancouver, and an Aerospace R&D Centre in Montreal.