Air Canada asks government to help avoid work stoppage

With a pilot contract deadline looming this weekend, Air Canada leaders are asking the Canadian government to step in before a work stoppage occurs. [caption id="attachment_97068" align="alignright" width="360"] (Courtesy/Air Canada Cargo)[/caption] If a contract agreement is not reached before Sept. 15, the pilots’ union, Air Line Pilots Association, International (ALPA), or the airline could issue a 72-hour wind down notice ahead of a strike or lockout that could begin Sept. 18, according to ALPA. “The pilot strike will affect both passenger traffic and air cargo,” Frederic Dimanche, director of the Ted Rogers School of Hospitality and Tourism Management at Toronto Metropolitan University , told Air Cargo Next . “Cargo disruption has the potential to affect Canadians all over the country. Many supplies and deliveries go through the air — not only rail — and the food supply, for example, may be seriously affected.” To prevent this work stoppage, Michael Rousseau , president and chief executive of Air Canada, has asked the government to intervene. “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,” Rousseau said in a Sept. 12 release from the airline. “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.” The pilots hope it does not come to a work stoppage due to numerous traveler and cargo bookings that would be greatly affected, Jesse Jantzi , an Air Canada A320 pilot and vice chairperson of ALPA’s Air Canada master executive council, told Air Cargo Next . Specialty cargo, perishables and live animal transport bookings have halted until further notice, according to an Air Canada Cargo alert on Sept. 10. Pilot contracts The pilots are primarily seeking increased salaries, according to ALPA. “Compensation is the easy one — or the most noticeable where we have our pilots that are lagging — and in some cases, making 50% of what our competitors are making,” Jantzi said. “And then the other big one here for us is quality of life and work-life balance improvements. These are changes that we haven't been able to make, being locked into our 10-year collective agreement.” Air Canada last negotiated a pilot contract in 2014, with new contract negotiations going into effect in January 2023, Jantzi said. Since then, ALPA and Air Canada have been negotiating — with no luck. “I think, given the complexity of the discussions and the changes that we're seeking here to modernize our collective agreement, it's taken some time again,” Jantzi said. “This is really the first time we've been able to freely bargain within Air Canada . In a decade, our contract language hasn't kept up to reflect the modern realities of the airline operation or the modern realities of what is expected in a pilot contract.” Air Canada says the negotiations have been going on for more than 100 days with many concessions given on its part, according to the release. More than “1,110 issues have been subject to negotiation,” the release reads. “Over this time, the parties have tentatively agreed to amend over 70% of the articles to improve and modernize their collective agreement. The negotiations included, according to the release: A 30% wage increase; Improved health care benefits package; Improved benefits plan, including pension and work-life balance; and No concessions from Air Canada. But there are still some issues that aren’t being addressed, Jantzi said, noting that it would be inappropriate to publicly comment on them now. “The bottom line is that [Air Canada pilot wages] are well below those of their American counterparts,” Dimanche told Air Cargo Next . “The timing was good for American pilots . They renegotiated their salaries at a time, after COVID, when the travel sector was booming again and when companies needed to rehire many pilots after having sacked them during the pandemic. “So they were in demand and were, as a result, in a good negotiating position. They managed to get 35% to 40% salary increases while Canadian pilots' salaries remained almost the same.” Air Canada is No. 36 on Air Cargo Next ’s Freight 50 list of top cargo carriers, flying 1.9 billion cargo tonne kilometers in 2022.

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