Air Canada has announced that it may begin scaling back its operations as early as Sunday due to a labor impasse with its pilots' union. The warning comes as the airline and the Air Line Pilots Association (ALPA) continue to negotiate but remain significantly divided on key issues. The cooling-off period mandated by Canadian labor laws ends on September 17, after which either party could issue a 72-hour notice for a strike or lockout.
The airline emphasized that a work stoppage could cause major disruptions. "Air Canada believes there is still time to reach an agreement with our pilot group, provided ALPA moderates its wage demands," the airline stated, citing concerns over the chaos experienced by travelers in recent abrupt airline shutdowns.
ALPA, however, criticized Air Canada's approach, accusing the airline of prioritizing corporate profits while offering below-market wages to its pilots. "Now, because of their corporate greed, Air Canada is preparing to disrupt flights and inconvenience passengers," said Charlene Hudy, chair of ALPA's Air Canada executive council.
Should a strike or lockout occur, it would affect flights under both the Air Canada brand and its discount subsidiary, Air Canada Rouge. Regional flights by contracted carriers Jazz and PAL, which are not part of ALPA, would continue, though many passengers would still be impacted due to connections with mainline flights.
Air Canada has begun preparing for the potential shutdown, including canceling some vacation-package flights and grounding certain aircraft. A gradual wind-down of operations would take place over three days if a strike notice is issued, with the aim of positioning aircraft and crews for a quick restart once a resolution is reached.
The airline estimates that a strike or lockout would disrupt travel for approximately 110,000 passengers daily. In case of flight cancellations, affected customers would be eligible for refunds, future travel credits, or rebooking options, though Air Canada warns that alternative flights may be limited.
Air Canada has also hinted at seeking government intervention, similar to recent actions taken in other industrial disputes in Canada. The carrier has been offering increased flexibility for travelers booked between September 15 and September 23, anticipating possible disruptions during this period.
If an agreement is not reached, normal operations could take up to 10 days to resume once a settlement is in place.