Blame Air Canada: All Flights Cancelled as Flight Attendants Strike

Air Canada has essentially shut down operations for its mainline and Air Canada Rouge flights. Flight attendants have gone on strike as of today and the airline responded with a lockout of the 10,000 flight attendants at Air Canada and Air Canada Rouge that are represented by the Canadian Union of Public Employees (CUPE). The two sides reached an impasse earlier this week around contract negotiations and 99.7% of flight attendants voted on a strike authorization.

This news should surprise no one who has been following along as the two sides had could not agree on contract terms this week around pay, benefits, and more. As I wrote about earlier this week, here is what the two sides said got them to this point:

Air Canada:

• Flight attendants were offered a 38% total increase over four years (including 25% in year one), plus improvements to pensions, benefits, and crew rest.
• Introduced ground pay for boarding (though at 50% of the normal hourly rate).
• It has accused CUPE of wasting 10 days of bargaining by refusing talks during the strike mandate vote.
• Air Canada also proposed binding third-party arbitration to resolve the dispute, which CUPE rejected.
• It says the union’s demands amount to “exorbitant” raises.
• This proposal would make Air Canada flight attendants the highest paid in Canada.

Canadian Union of Public Employees (CUPE):

• It says that real wage growth under the proposal would be only 17% over four years and 8% in year one (while inflation has eroded wages by 9%).
• Boarding pay is partial and excludes medical emergencies, fires, evacuations, and other safety and security ground duties.
• CUPE rejects arbitration and claims that arbitrators tend to maintain the status quo, which the union seeks to change.
• It also says it was always open to negotiations and that the airline failed to reach out during the strike vote period.
• It insists its demands are “fair” and affordable given Air Canada’s financial health.

Air Canada and Air Canada Rouge transport around 130,000 passengers daily. They will be affected by this strike. This includes around 25,000 Canadians that the airline flies to Canada from international destinations every day. Air Canada flies to 65 countries on six continents with a fleet of 259 aircraft around the world. It’s worth noting that Air Canada Express services, operated by Jazz and PAL Airlines, will not see disruptions (but these account for only about 20% of daily passengers).

Every time I read or write anything about this strike, I hear the South Park cast singing “Blame Canada” but tweaked as “Blame Air Canada.”

Anthony’s Take: This does not seem like it is going to end quickly. Air Canada management and CUPE seem like they are still far apart and unless one side gives in or an agreement can be reached, Air Canada will essentially be shut down. Make alternate plans on WestJet, Porter, and US carriers until this is resolved.

(Featured Image Credit: Air Canada.)