Agreement 'provides a framework for future growth of airline'
The possible work stoppage at Air Canada is not pushing through, thanks to the employer and the union representing their pilots reaching an agreement Sunday.
The airline announced that it has reached a tentative, four-year collective agreement with the Air Line Pilots Association (ALPA), representing more than 5,200 pilots at Air Canada and Air Canada Rouge.
“The new agreement recognizes the contributions and professionalism of Air Canada's pilot group, while providing a framework for the future growth of the airline,” Air Canada said.
The employer added that terms of the new agreement will remain confidential pending a ratification vote by the membership – expected to be completed over the next month – and approval by the Air Canada Board of Directors.
While not providing specifics of the deal, ALPA did say that the agreement, if ratified, will generate an additional $1.9 billion of value for Air Canada pilots over the course of the agreement.
“While it has been an exceptionally long road to this agreement, the consistent engagement and unified determination of our pilots have been the catalyst for achieving this contract,” said First Officer Charlene Hudy, chair of the Air Canada ALPA Master Executive Council (MEC).
“After several consecutive weeks of intense round-the-clock negotiations, progress was made on several key issues including compensation, retirement, and work rules. This agreement, if ratified by the pilot group, would officially put an end to our outdated and stale decade-old, ten-year framework.”
Before the agreement, Air Canada had started preparing to gradually suspend most of its operations starting as early as Sept. 15, 2024.
Federal Labour Minister Steven MacKinnon welcomed the development.
"Thanks to the hard work of the parties and federal mediators, disruptions have been prevented for Canadians," MacKinnon said in a statement posted on X. "I wish to salute the efforts of Air Canada and its pilots, who approached the discussions with seriousness and a resolve to get a deal."
The Canadian Chamber of Commerce also found comfort in the two parties reaching an agreement.
“We are relieved that Air Canada has reached a tentative agreement with the Air Line Pilots Association (ALPA),” said Candace Laing, president and CEO of the chamber.
“We hope to see it ratified by membership in the coming month, putting an end to the uncertainty for Canadian travellers, as well as businesses and communities who depend on Air Canada’s cargo network every day.”
Previously, Canadian business groups urged the federal government to intervene in the labour dispute between Air Canada and its pilots by referring the matter to binding arbitration. Had the strike went through, disruptions could harm the economy, particularly the transport of critical goods such as medical supplies and manufacturing components, business leaders warned.
