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Head of CFIB says Air Canada shutdown would be devastating

Service could start ramping down as soon as Sunday, with a legal strike or lockout position potentially shutting Air Canada completely down on Wednesday.
Air Canada Rouge 1
An Air Canada Rouge flight taxis into Thunder Bay Airport. (FILE)

TORONTO – The head of the Canadian Federation of Independent Business says an Air Canada work stoppage would be devastating to local businesses and the country’s economy and urged the two sides not to stop service in the coming days. 

According to a release issued on Friday, five days before the airlines pilots are legally allowed to walk off the job or Air Canada is in position to lock out its pilots, nearly 110,000 travellers depend on Air Canada to get to and from their destinations each and every day.

The impact could be immediate, said Dan Kelly, president of the CFIB.

“Canada’s hospitality and tourism sectors would lose out on the end of the critical summer season if Air Canada starts winding down flights on Sunday. A work stoppage would also cause delays in transporting critical cargo across the country.

“A single day of interrupted service could cause weeks of disruptions and inflict major damage to small firms who depend on Air Canada service to connect their goods, customers and employees,” Kelly said in a release, imploring all sides in the dispute to ensure service remains in place while a new collective agreement is negotiated. 

The airline has asked the government to step in and prevent 5,200 Air Canada and Air Canada Rouge pilots, members of the Air Line Pilots Association, from walking off the job, calling on the feds to send the stalemate to direct binding arbitration under Section 107 of the Canada Labour Code if negotiations are unsuccessful before the strike or lockout deadline arrives.  

In a news release, Air Canada says nearly 70 per cent of more than 1,000 proposed changes have been agreed to, but the ALPA has not agreed to the offered wage increases.

Time is running out, said Michael Rousseau, president and chief executive officer of Air Canada.

"With talks nearing an impasse and time for negotiation running out, the travel plans of hundreds of thousands of Canadians are hanging in the balance. 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.

“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 72-hour strike or lockout notice can be issued as early as 12:01 a.m. on Sunday and Air Canada says if either contingency happens, it plans to start ramping down flights immediately, with a complete stoppage scheduled for as soon as 12:01 a.m. on Sept. 18.

According to the advocacy group, Air Passenger Rights, should an airline strike or lockout occur, travellers have two options: continue with their travel or seek a refund and return to their point of origin. If they choose the former, Air Canada would be required to rebook, free of charge, on the next available flight operated by any carrier, either at the same airport or one that’s within a reasonable distance of that airport.

They must provide transportation to another airport if the new flight does not depart from the airport at which one is located.

Should a passenger seek a refund, Air Canada would have to do so, in the original form of payment, within 30 days, for all unused flight segments that no longer serve any purpose. They must also provide transportation, free of charge, back to your point of origin, if you are not already there.

Air Canada Jazz flights are not affected, but travel beyond Toronto for Thunder Bay residents would be impacted. 



Leith Dunick

About the Author: Leith Dunick

A proud Nova Scotian who has called Thunder Bay home since 2002, Leith is Dougall Media's director of news, but still likes to tell your stories too. Wants his Expos back and to see Neil Young at least one more time. Twitter: @LeithDunick
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