Air Canada’s New Strategy: Federal Arbitration to Prevent Travel Problems


Air Canada is urging federal arbitration to prevent major travel disruptions. The airline’s contract negotiations with pilots have now extended to 100 days without reaching a resolution.

Contract Talks at a Standstill

Negotiations between Air Canada and the Air Line Pilots Association (ALPA), which represents 5,200 pilots, have stalled. Although they have agreed on 70% of over 1,000 proposed changes, unresolved issues persist. Air Canada proposed significant wage increases, but the union rejected these offers, comparing them to U.S. wage standards. Without an agreement, both parties may face a strike or lockout starting September 18, 2024.

Contingency Plans

If a strike or lockout notice is issued, Air Canada plans to wind down operations gradually. Beginning after September 15, 2024, the airline will cancel flights over three days, potentially leading to a complete shutdown by September 18. However, services operated by Air Canada Express will remain unaffected.

Negotiation Timeline

Key events in the negotiations include the following: On June 9, 2023, ALPA initiated early bargaining due to unmet fleet growth benchmarks. By January 2024, initial talks led to a mediation protocol, but the parties did not reach a final agreement. On June 1, 2024, ALPA ended the voluntary bargaining protocol after 43 days of discussions. Federal conciliators were appointed on June 28, 2024, to assist in the negotiations. ALPA announced strong support for a strike vote on August 22, 2024. The conciliation period ended on August 27, 2024, leading to a 21-day cooling-off period. Negotiations resumed on September 3, 2024, at the request of federal mediators.

Federal Arbitration Request

Although Air Canada has not yet formally requested government intervention, the airline urges the Canadian government to prepare for binding arbitration if talks fail. A work stoppage would disrupt the travel of 110,000 passengers daily and halt essential air cargo transport. Air Canada points to recent government interventions in other sectors as a precedent for such action. Remember to check WentWorld.com and follow our social media channels for ultimate travel tips and destination guides.

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