Key Issues Behind the Dispute
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Ground Duties Go Unpaid
Air Canada flight attendants say they aren’t compensated for essential tasks like boarding, safety preparation, or post-flight duties. Traditionally, their pay only begins once the aircraft’s brakes are released and stops when the brakes are applied at landing. CUPE, the union representing the crew, estimates this amounts to about 35 hours of unpaid work per month. -
Wage Increases Still Fall Short
Air Canada has proposed a 38 % increase in total compensation over four years, with a front-loaded 25 % bump in the first year. However, CUPE says this offer only translates to a 17.2 % increase in base wages over that period, which still doesn’t match rising inflation and industry standards.
Escalation to Strike and Legal Conflict
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Strike Initiated August 16, 2025
After months of failed negotiations, CUPE issued a 72-hour strike notice on August 13, followed by Air Canada’s 72-hour lockout notice. The strike officially began at 00:58 EDT on August 16, paralyzing Air Canada and Rouge operations. Regional “Express” flights were not affected. -
Government Intervention Declared the Strike Illegal
Jobs Minister Patty Hajdu invoked Section 107 of the Canada Labour Code, ordering binding arbitration and directing flight attendants to return to work. The Canada Industrial Relations Board (CIRB) issued a back-to-work order within 24 to 48 hours. -
Union Defies the Order, Faces Possible Jail
Despite being declared unlawful, CUPE has vowed to continue the strike. Union leaders expressed willingness to go to jail rather than comply, framing their action as necessary for fair treatment of cabin crew.
Widespread Disruptions and Economic Impacts
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Flights Grounded Nationally
The strike has forced the cancellation of thousands of flights, with estimates ranging from 2,500 canceled flights, affecting 130,000 to over 500,000 passengers daily. -
Air Canada Freezes Financial Forecasts
With ongoing disruptions amid peak summer travel, the airline has suspended its third-quarter and full-year 2025 guidance, citing high uncertainty and revenue declines. -
Government Escalates Scrutiny
Jobs Minister Hajdu has launched a formal probe into airline labor practices, focusing especially on allegations of unpaid ground work. She is also pressing for a swift resolution through binding arbitration or legislation.
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