Source: Travelweek; With file from The Canadian Press

Air Canada has issued a statutory 72-hour lockout notice to the Canadian Union of Public Employees (CUPE), representing 10,000 flight attendants at Air Canada and Air Canada Rouge, after the union announced plans to strike.

Flight attendants could potentially walk off the job Saturday at 12:58 a.m. ET if a deal isn’t reached by then to avoid a work stoppage.

The move will result in a phased suspension of most operations over the next three days, with government-directed arbitration sought to resolve the dispute.

The airline said Air Canada Express flights operated by Jazz and PAL Airlines will continue as normal, though these represent only about 20 per cent of daily customers. Air Canada and Air Canada Rouge carry approximately 130,000 customers daily, including 25,000 Canadians returning from abroad who could be stranded.

CUPE issued its strike notice in the early morning hours on Aug. 13, allowing it to begin job action as soon as Aug. 16. Air Canada responded with a lockout notice, saying the planned wind down will provide greater certainty for travellers and prevent the chaos of an unplanned shutdown.

“We regret the impact a disruption will have on our customers, our stakeholders and the communities we serve. However, the disappointing conduct of CUPE’s negotiators and the union’s stated intention to launch a strike puts us in a position where our only responsible course of action is to provide certainty by implementing an orderly suspension of Air Canada’s and Air Canada Rouge’s operations through a lockout,” said Michael Rousseau, President and Chief Executive of Air Canada.

“As we have seen elsewhere in our industry with other labour disruptions, unplanned or uncontrolled shutdowns, such as we are now at risk of through a strike, can create chaos for travellers that is far, far worse,” he added.

Flight Update

Air Canada says it will begin a gradual suspension of flights to allow an orderly shutdown as it faces a potential work stoppage by its flight attendants on Saturday.

The airline says the first flights will be cancelled Thursday, with more on Friday and a complete cessation of flying by Air Canada and Air Canada Rouge by the weekend.

Air Canada Express flights operated by Jazz and PAL Airlines will continue to operate as normal.

Air Canada says customers whose flights are cancelled will be notified and they will be eligible for a full refund. The company also says it has made arrangements with other Canadian and foreign carriers to provide customers alternative travel options to the extent possible.

A flexible rebooking policy is in place, allowing customers to change or postpone travel at no extra cost. Passengers are advised not to go to the airport unless they have a confirmed booking and the flight is showing as operating. Additional information, including a FAQ, is available at aircanada.com/action.

Months of Negotiations

The company says it has been in eight months of negotiations, including with federal conciliators, and offered CUPE a revised proposal on Aug. 11. The offer included a 38 per cent increase in total compensation over four years, ground pay, improved pensions and benefits, more crew rest, and other enhancements, with no concessions requested from the union. Air Canada also proposed binding arbitration, which CUPE rejected.

Following the rejection, Air Canada requested immediate government intervention under section 107 of the Canada Labour Code to impose binding interest arbitration before a work stoppage takes effect. The airline pointed to recent government action in rail, port, and airline disputes as precedent.

The union has said its main sticking points revolve around what it calls flight attendants’ “poverty wages” and unpaid labour when planes aren’t in the air.

In a notice to members posted on its Facebook page earlier today, Aug. 13, the union wrote: “After reaching an impasse, federal conciliators were brought in. We continued to bargain, putting forward solid, data driven proposals on wages, expenses, and unpaid work, all rooted in fairness and industry standards. Air Canada’s latest response made one thing clear: they are not interested in resolving these issues.”

The union encouraged all members to take action by contacting their Member of Parliament today. “Tell them to respect our right to strike and to support our fight for fair compensation for all the work we do,” it wrote.