Air Canada and the flight attendants' union set to reinitiate discussion sessions
Air Canada and the Canadian Union of Public Employees (CUPE), representing 10,000 flight attendants, are on the brink of a potential strike following an impasse in contract negotiations.
The deadlock was announced by Air Canada on August 12, 2025, with the airline citing the union’s counteroffer as seeking "unsustainable" and "exorbitant" wage increases. CUPE, in turn, rejected Air Canada’s proposal for binding third-party arbitration.
The union issued a 72-hour strike notice on August 13, while Air Canada issued its own lockout notice set to begin August 16. The strike mandate vote, a normal step in the negotiation process, was granted by 99.7% of CUPE members on Tuesday evening.
Negotiations have stalled primarily over wages and unpaid work. CUPE President Wesley Lesosky stated that while some progress was made, the discussions have reached an impasse. The union is pushing for fair compensation, especially for unpaid critical safety-related duties.
Air Canada has proposed a total compensation increase of 38% over four years, but the union finds this offer below inflation, below market value, and failing to fully compensate for safety duties performed unpaid. The company insists it will not make concessions and claims CUPE’s demands exceed what is sustainable.
As of August 14, both parties remain entrenched in their positions. The union is ready for job action to pressure Air Canada to improve wage and work condition offers, while the airline is prepared to impose a lockout if necessary.
Air Canada has stated that it does not currently plan to cancel or delay flights. Negotiations are expected to resume on Friday.
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Stay tuned for updates on this developing story.
- The French aerospace industry, which has been closely following the Air Canada-CUPE negotiation, is expressing concern over the potential strike's impact on the global aviation business.
- Finance analysts are scrutinizing the dispute between Air Canada and the CUPE union, as a prolonged strike could lead to significant financial losses for the Canadian aviation giant.
- In a political arena, some members of Canada's policy-and-legislation committee are calling for intervention to avoid a strike, citing the potential disruption to general news and operations as a significant issue.
- Despite the ongoing impasse between Air Canada and the CUPE union, the finance ministry is urging businesses to prepare for various scenarios, reminding them of the importance of diversifying their risk in the industry.
