Air Canada and the union representing its flight attendants have agreed to end mediation on wage increases and take the matter to arbitration, the airline said in a statement.
Air Canada and the Canadian Union of Public Employees (CUPE) reached a four-year tentative agreement for its flight attendants in August. However, this month, flight attendants voted overwhelmingly to reject the wage increase being offered by the airline.
While the rest of the tentative agreement holds, the issue of wage increases remains to be negotiated. Typically, the issue of wages would go to mediation before heading to arbitration, Air Canada said, noting the union asked on Friday to go to arbitration.
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“While remaining committed to the entirety of the process, Air Canada, in a spirit of cooperation, has agreed to CUPE’s request. This will provide cabin crew with wage increases and their retro pay, dating back to April 2025, as soon as possible,” the airline said in a statement Tuesday.
Part of the agreement is that there will be no labour disruption, and flights will continue to operate, Air Canada said in the statement.
CUPE told Global News that they “offered to proceed directly to arbitration and bypass mediation given the unlikelihood of an offer that would be acceptable to our members.”
“The union spent nine months bargaining in good faith with the company on wages and saw no evidence that an additional three days of mediation will yield an acceptable result. The union is therefore seeking an expedited process that will put money in our members’ pockets and conclude this process as quickly as possible,” the Air Canada component of CUPE said in a statement.
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