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Air Canada Strike Ends with Tentative Union Deal

Tentative agreement ends strike, secures pay for ground work.

Air Canada and the Canadian Union of Public Employees (CUPE), representing 10,000 flight attendants, reached a tentative agreement on August 19, 2025, ending a strike that disrupted travel for approximately 130,000 passengers daily during the peak summer season. The agreement, announced early Tuesday in Toronto, addresses a key union demand by guaranteeing compensation for work performed while planes are on the ground, a significant victory for flight attendants who had been pushing to end unpaid labor.

The deal came after intense negotiations resumed late Monday, following days of tension marked by the union’s defiance of two Canada Industrial Relations Board (CIRB) orders declaring the strike illegal and mandating a return to work. CUPE had rejected government-directed binding arbitration, arguing it violated workers’ rights, and vowed to continue the strike despite potential fines or legal consequences. “Unpaid work is over. We have reclaimed our voice and our power,” CUPE stated, emphasizing that the agreement allows members to vote on a fair contract secured through collective action.

The strike, which began early Saturday, led Air Canada to cancel over 1,200 domestic and 1,300 international flights since Thursday, impacting an estimated 500,000 travelers, according to aviation analytics firm Cirium. Air Canada, operating around 700 daily flights, had offered a 38% increase in total compensation over four years, including benefits and pensions, which it claimed would make its flight attendants the best-paid in Canada. However, CUPE argued the proposed 8% raise in the first year fell short of inflation-adjusted needs and failed to fully address unpaid ground work.

Also Read: Air Canada Strike Halted: 10,000 Flight Attendants Ordered Back to Work!

The labor dispute drew criticism from union leaders, who accused the Canadian government of repeatedly using Section 107 of the Canada Labour Code to curtail workers’ rights by forcing arbitration, as seen in past disputes with port and railway workers. Despite the CIRB’s rulings, CUPE’s resolve to negotiate directly with Air Canada led to the tentative deal, marking a significant moment for labor rights in Canada’s aviation sector.

Air Canada has assured affected passengers they can request full refunds via the airline’s website or mobile app. The airline also advised travelers not to visit airports unless holding confirmed bookings on other carriers, as operations are expected to take several days to normalize. The agreement, pending ratification by CUPE members, signals a step toward resolving long-standing issues of fair pay and working conditions, potentially setting a precedent for future labor negotiations in the industry.

Also Read: Air Canada Grounds All Flights as Attendants Launch Strike

 
 
 
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