Air Canada pushes for government intervention as clock ticks down on labour talks

Air Canada said Thursday the federal government will need to step in and block pilots from striking if the two sides can’t reach a deal, warning that job action would disrupt travel plans for least 110,000 travellers every day.

A statement from the company said talks with the Air Line Pilots Association (ALPA), which represents 5,200 pilots at Air Canada and Air Canada Rouge, are still stalled with days to go before the critical deadline.

“Government direction for binding arbitration will be necessary to avoid a major disruption of air travel,” if talks don’t start moving, it said.

“We are taking all measures to mitigate any impact, but the reality is even a short work stoppage at Air Canada could, given the complexity of our business operating on a global scale, cause prolonged disruption for customers,” Michael Rousseau, Air Canada’s president and CEO, wrote in the statement. 

“So, while we remain committed to reaching a negotiated settlement with ALPA, the federal government should be prepared to intervene if talks fail before any travel disruption starts.”

WATCH | Airline spokesperson says Ottawa needs to intervene: 

Christophe Hennebelle, Air Canada’s vice-president of corporate communications, tells the CBC’s Peter Cowan the disruption of a pilots’ strike would be significant enough that the federal government should step in to prevent it.

Airline spokesperson Christophe Hennebelle previously said Air Canada is committed to negotiations but faces “unreasonable wage demands” from the pilots union that it can’t meet.

Canada’s largest airline and the union have been in negotiations for more than a year without result. Both sides will be in legal strike or lockout positions on Wednesday after giving 72 hours’ notice, which could come any time after 12:01 a.m. ET Sunday.

If there is strike or lock-out notice, Air Canada has said it will start gradually winding down its operations in anticipation of a strike on Wednesday. Flight cancellations would begin Sunday and continue until flights stop completely on Wednesday.

Air Canada Express would not be affected.

WATCH | Trudeau says both sides need to keep working on a deal: 

Speaking in Vancouver on Thursday, Prime Minister Justin Trudeau said both the union and Air Canada need to keep working toward a resolution ahead of a potential pilots’ strike, and that millions of Canadians are counting on both sides to reach a deal.

A shutdown would stop roughly 670 flights a day, disrupting travel for tens of thousands of passengers and interfering with connecting flights with airlines from around the world.

Passengers with flights booked are anxiously waiting to hear whether they’ll have to change plans.

“It’s quite worrisome, because I’m here, and how will I get back? It’s a little far to walk,” said Laurie Best, who flew into Newfoundland this week from Alberta to visit family.

WATCH | Passengers in St. John’s wait to hear whether flights will go ahead: 

Air Canada transports around 4,500 people to and from Newfoundland and Labrador every day. The CBC’s Peter Cowan asked some travellers at St. John’s International Airport how they feel about the airline finalizing plans to suspend most of its operations, with a 72-hour strike notice or lockout potentially coming as soon as Sunday.

The union has said it’s corporate greed that is holding up talks, as Air Canada continues to post record profits while expecting pilots to accept below-market compensation.

Labour Minister Steve Mackinnon said he was in Toronto on Thursday to meet with the airline and pilots’ union. He said both sides need to stay at the bargaining table.

“There’s no reason why these parties can’t work together and get a deal done,” he wrote on X. “Canadians are counting on them.”

Numerous business groups convened in Ottawa on Thursday calling for action — including binding arbitration — to avoid the economic disruptions a shutdown of the airline would cause.

WATCH | Behind the scenes at union’s HQ:

Air Canada could begin suspending flights as early as Sunday, as contract dispute talks continue between the airline and its pilots. Both sides remain at the bargaining table but are putting contingency plans in place in the event of a strike. CBC’s Chris Glover visited the union’s strike headquarters.

Arbitration “can help bring the parties to a successful resolution and avoid all the potential impacts we’re here to talk about today,” said Candace Laing, president of the Canadian Chamber of Commerce, during a news conference.

“Canada cannot afford another major disruption to its transportation network. A labour disruption at Air Canada would ripple through our economy,” said Goldy Hyder, chief executive of the Business Council of Canada, in a statement.

Last month, Ottawa ended a massive railway work stoppage less than 17 hours after it began, when MacKinnon directed the federal labour board to impose binding arbitration on CN Rail, Canadian Pacific Kansas City rail and their workers.

NDP won’t support interference

NDP Leader Jagmeet Singh said Thursday morning the party would not support efforts to force pilots back to work.

“We’re going to send a clear message again that we are opposed to Justin Trudeau and the Liberals, or any government, interfering with workers,” said Singh.

“If there’s any bills being proposed on back to work legislation, we’re going to oppose that.”

Conservative Leader Pierre Poilievre said Wednesday that Air Canada should negotiate in good faith with its pilots.

“We’re not going to support pre-empting those negotiations. We stand with the pilots and their right to fight for a fair deal, good wages.”