The federal government has announced it is intervening to resolve the labor dispute with Air Canada and the union representing about 10,000 flight attendants.
On Saturday, Jobs Minister Patty Hajdu said Air Canada and the union have been negotiating for eight months and she met with both parties Friday night to try and reach a deal, however, they are at an impasse and unable to reach a deal.
Hajdu said she is exercising her authority to direct the Canada Industrial Relations Board to arbitrate this dispute.
“I have asked the Board to assist the parties in reaching a settlement of the outstanding terms of their collective agreement by imposing final and binding arbitration and to extend the terms of the existing collective agreement until a new one is determined by the arbitrator,” Hajdu said in a statement.
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The decision comes less than 12 hours after flight attendants went on strike, resulting in Air Canada flights being cancelled nationwide.
Strike notice was issued Wednesday night and the unionized flight attendants began striking late Friday night.
The statement said the strike was already having an “enormous impact” nationwide.
“The government firmly believes that the best deals are reached by the parties at the bargaining table. It has now become clear that this dispute won’t be resolved at the table,” Hajdu said.
“Canadians are increasingly finding themselves in very difficult situations and the strike is rapidly impacting the Canadian economy.”
The Canadian Union of Public Employees (CUPE) Air Canada component said the decision "crushes" underpaid flight attendants' Charter rights.
"Now, when we're at the bargaining table with an obstinate employer, the Liberals are violating our Charter rights to take job action and give Air Canada exactly what they want - hours and hours of unpaid labour from underpaid flight attendants, while the company pulls in sky-high profits and extraordinary executive compensation." said Wesley Lesosky, President of the Air Canada Component of CUPE.
Lesosky's said the union came to the table with dat-driven and reasonable proposal for a fair cost-of-living wage increase and an end to forced unpaid labour. However, the union said Air Canada responded by "sandbagging negotiations."
"The Liberal government is rewarding Air Canada's refusal to to negotiate fairly by giving them exactly what they wanted," the union said in its response.
Kyle Seeback, Conservative Shadow Minister for Labour, said that Air Canada, and the Carney government, should treat the flight attendants fairly and respect their rights.
“Mark Carney is proving once again that he is no friend to workers or labour, and would rather reward his corporate buddies than pay flight attendants who work tirelessly on their feet all day,” he said in a statement.
“No worker – federally-regulated or otherwise – should be forced, especially by the government, to work without being paid. Yet, that is exactly what flight attendants are being ordered to do.”
Hajdu said her decision will make sure Canadians and visitors are not impacted because of the mass flight cancellations.
The minister also said it will ensure the shipment of goods, such as pharmaceuticals and organ tissue, over 40% of which are moved by Air Canada, can continue as normal.
“Once again, I urge the parties to work towards a fair and timely resolution,” Hajdu concluded.
