Air Canada pilots represented by the Air Line Pilots Association (ALPA), who voted to authorize a strike, hold an informational picket at Toronto Pearson International Airport in Mississauga on Aug. 27.Carlos Osorio/Reuters
Steven Tufts is a labour geographer in the Faculty of Environmental and Urban Change at York University.
On Sept. 18, Air Canada’s pilots will be in a legal strike position. Passengers are rightfully nervous. We are in the middle of a “perfect storm” creating significant turbulence in air-travel labour relations in Canada. Navigating the bumpy skies ahead will not be easy.
Airlines in Canada are making money again after being hit hard by pandemic restrictions. Air-passenger volume in Canada is expected to recover to 2019 levels this year. Air Canada has significantly de-leveraged its debt and returned to profitability in 2023 with an operating income of $2.3-billion. Workers want their share.
And long-term collective agreements between Air Canada and key groups of employees are expiring in 2024 and 2025. The Air Line Pilots Association (ALPA) is currently negotiating a new agreement after 10 years and is seeking significant gains to match U.S. counterparts. Last year, ALPA negotiated a four-year deal for pilots with United Airlines that resulted in wage increases of up to 40 per cent depending on aircraft type that the union valued at US$10-billion.
Explainer: How do strikes work in Canada?
Next year, Canadian Union of Public Employees (CUPE) flight attendants will also be seeking significant wage gains with Air Canada when their 10-year agreement expires. Currently, flight attendants are only paid when they are in the air, but CUPE is part of an international campaign demanding compensation for the time spent working “on the ground.” Both unions are playing catch-up after decade-long agreements.
All of this is compounded by the fact that the government has recently flexed its muscle in the transportation sector to limit workers’ right to strike.
On Aug. 22, federal Labour Minister Steve MacKinnon invoked section 107 of the Canada Labour Code, effectively ending the dispute between the two major railway companies in Canada and the Teamsters union, which is appealing the decision in court. The government also used section 107 this summer to refer first-contract negotiations between WestJet and the Aircraft Mechanics Fraternal Association to arbitration. The order did not immediately restrict AMFA from striking, which did result in the cancellation of flights, but it did signal that the government was not standing idly by.
Ironically, limiting workers’ right to strike often does not achieve the intended effect. Employers are less likely to bargain seriously if they think the federal government will limit workers’ right to strike. As a result, there is more, not less, tension between labour and management.
Workers at profitable companies demanding to catch up after years of less-than-inflation wage increases and a federal government willing to restrict workers’ rights to keep people and products moving have created conditions for labour unrest. Maintaining stable labour relations will be a challenge that requires action that may appear counterintuitive.
First, there needs to be more bargaining, not less. Ten-year agreements have an alluring promise of stability for employers and employees, but they are folly. Competitive conditions can change quickly and agreements need to be renegotiated to reflect new realities. Air Canada and its unions are now tasked with negotiating new contracts with a decade’s worth of limitations identified by both parties. There is an added challenge in that negotiating skills have become rusty after not being used in years. There are good reasons why most collective agreements are three to five years in length.
Second, despite the election cycle and unpopularity of grounded air travel, the federal government needs to pull back from restricting the power of workers to strike. Employers will never be serious about reaching a deal at the table if they have no fear of even a short strike. Airlines need to be put on notice that there is a cost to not reaching fair settlements with workers.
An efficient air-travel sector requires skilled and content people. While work stoppages are disruptive, so is the inability of the sector to attract, train and retain workers to both union and non-union positions. Air travel was ill prepared for the surge in travel after pandemic restrictions were eased as it faced labour shortages. There are calls for “living-wage” airports – the setting of higher minimum standards for all air-travel workers. In the meantime, good union jobs and free collective bargaining are vital to the sector’s long-term stability and safe landings for everyone.
What are your questions about a potential Air Canada pilots strike?
The clock is ticking on a potential Air Canada pilots strike. Do you have questions about how a potential strike would affect your travel plans or upcoming flights? Have you experienced any issues rebooking a flight so far? Do you want to know if you're entitled to a refund or any compensation? The Globe wants to hear your questions. Submit below, or send us an email to audience@globeandmail.com.
Editor’s note: A previous version of this article incorrectly stated that Air Canada pilots will be in a legal strike position Sept. 17. The earliest a strike could begin is Sept. 18.