Flight attendants for Air Canada reject proposal for dispute resolution through arbitration, amidst escalating flight cancellations
Air Canada's labour dispute with its flight attendants, who are predominantly women and make up 70% of the workforce, has come to an end after a tentative agreement was reached on August 19, 2025. The dispute, which began on August 16 and led to the temporary suspension of all Air Canada and Air Canada Rouge operations, has caused significant disruptions for passengers.
The resolution of the dispute was overseen by a mediator, and as a result, the Canadian Union of Public Employees (CUPE) representing about 10,500 flight attendants agreed to have their members return to work immediately. This move allowed Air Canada to begin a gradual resumption of flights starting the evening of August 19, 2025. However, the full restoration of regular service may take a week or more due to aircraft and crew displacement caused by the shutdown.
Customers are advised that some flight cancellations could continue over the next 7 to 10 days during this stabilization period. For passengers stranded due to cancellations, Air Canada is offering several options including full refunds, travel credits, and rebooking on other carriers. However, alternative carrier capacity is limited due to the peak travel season. Passengers are strongly cautioned not to go to airports unless they have confirmed flights on Air Canada or other airlines.
The Tourism Industry Association of Canada has urged Ottawa to intervene "to protect Canada's economy and tourism sector." Passenger rights advocate, Gabor Lukacs, has reported seeing cases where alternate flights were available, but at a higher price. A poll conducted by Abacus Data shows 88% of surveyed Canadians believe flight attendants should be paid for all work-related duties, including boarding, delays, and safety checks.
The union has rejected Air Canada's request for federal jobs minister Patty Hajdu to intervene with binding arbitration. Under the Air Passenger Protection Regulations, Air Canada is required to rebook passengers on competitor airlines if it is unable to rebook them on its own or partner airlines' flights to depart within 9 or 48 hours of the original departure time, depending on whether we are before or during a strike.
The wage offer for flight attendants is significantly less than one-third what Air Canada offered its pilots less than a year ago. In 2024, pilots received a 26% wage increase in the first year of their new contract, while flight attendants received an 8% increase in the first year and a 17.2% overall wage increase over the life of a four-year deal. The poll released by the union shows a majority of Canadians support raising flight attendants' pay to reflect the important safety role they play, with 76% in agreement.
The Canadian Union of Public Employees represents 10,500 flight attendants at Air Canada. A further 59% believe Ottawa should respect flight attendants' right to take job action. Hugh Pouliot, a spokesperson for the union, stated that the union will not surrender its members' bargaining rights. Passengers who are unable to rebook with Air Canada may consider buying alternate transportation on their own and sending the bill to Air Canada, potentially suing them in small claims court if necessary.
The airline's chief human resources officer, Arielle Meloul-Wechsler, stated that flights would be cancelled daily, with new cancellations announced at 8 a.m. each day. Air Canada started cancelling flights on Thursday night, affecting 100,000 travellers. The first cancellations were mostly long-haul international flights scheduled to depart Thursday night. The Toronto Region Board of Trade has urged binding arbitration and is urging both parties to continue negotiations to avoid further disruption for Canadian air travellers and businesses.
In summary, the strike is over with a tentative deal in place, operations are gradually resuming, and Air Canada is managing customer disruptions with refunds, credits, and alternate bookings as best as possible under the circumstances. The Tourism Industry Association of Canada and the Toronto Region Board of Trade have urged Ottawa to intervene to protect the economy and tourism sector, while a majority of Canadians support raising flight attendants' pay and respecting their right to take job action. Passengers are advised to stay informed and to confirm their flights before heading to the airport.
- The labour dispute between Air Canada and its flight attendants, predominantly women who make up 70% of the workforce, was overseen by a mediator and resulted in a tentative agreement on August 19, 2025.
- The Canadian Union of Public Employees (CUPE), representing about 10,500 flight attendants, agreed to have their members return to work immediately, allowing Air Canada to begin a gradual resumption of flights.
- The resolution of the dispute caused significant disruptions for passengers, leading to the temporary suspension of all Air Canada and Air Canada Rouge operations from August 16.
- Customers are advised that some flight cancellations could continue over the next 7 to 10 days during the stabilization period, and are advised not to go to airports unless they have confirmed flights.
- Air Canada is urging Ottawa to intervene "to protect Canada's economy and tourism sector," and passenger rights advocate Gabor Lukacs has reported seeing cases where alternate flights were available but at a higher price.
- The union has rejected Air Canada's request for federal jobs minister Patty Hajdu to intervene with binding arbitration.
- Under the Air Passenger Protection Regulations, Air Canada is required to rebook passengers on competitor airlines if it is unable to rebook them on its own or partner airlines' flights to depart within 9 or 48 hours of the original departure time.
- The wage offer for flight attendants is significantly less than one-third what Air Canada offered its pilots less than a year ago.
- The Canadian Union of Public Employees will not surrender its members' bargaining rights, and passengers who are unable to rebook with Air Canada may consider buying alternate transportation on their own and sending the bill to Air Canada, potentially suing them in small claims court if necessary.
- A poll conducted by Abacus Data shows 88% of surveyed Canadians believe flight attendants should be paid for all work-related duties, and a majority of Canadians support raising flight attendants' pay to reflect the important safety role they play.
- The Toronto Region Board of Trade has urged binding arbitration and is urging both parties to continue negotiations to avoid further disruption for Canadian air travellers and businesses.
