Hundreds of Flights Grounded as Air Canada Flight Attendants Launch First Strike Since 1985

Hundreds of Flights Grounded as Air Canada Flight Attendants Launch First Strike Since 1985

Business Daily

Published : 19:05, 17 August 2025

Canada's largest airline, Air Canada, has suspended hundreds of flights after more than 10,000 of its unionized flight attendants walked off the job in a 72-hour strike beginning early Saturday. This marks the first such strike by cabin crew in four decades, affecting an estimated 130,000 passengers daily during the busiest travel season of the year. The strike was triggered by a collapse in contract negotiations over pay and unpaid ground work—flight attendants currently receive wages only for time spent in the air and are demanding compensation for duties performed on the ground, such as boarding and safety checks.

Air Canada had proposed a deal offering a total compensation increase of 38% over four years, including benefit enhancements and partial ground pay, but the union deemed the initial 8% raise in the first year—amid high inflation—as insufficient, and rejected the idea of binding government arbitration. In response, the airline initiated a lockout and began a phased shutdown, canceling hundreds of flights by Friday and suspending all operations for Air Canada and its low-cost affiliate, Air Canada Rouge, by Saturday. Meanwhile, regional partners, including Air Canada Jazz and PAL Airlines, are continuing limited operations.

The disruption has sparked widespread travel chaos. Airports have been scenes of frustration and confusion as families and travelers scramble to rebook or seek refunds. Passengers have been advised not to go to the airport unless they have confirmed flights on other carriers. Air Canada is offering full refunds or rebooking between August 21 and September 12 for affected passengers, but with limited capacity on other airlines during peak season, immediate solutions remain scarce.

Beyond the immediate hardship for travelers, the strike has broader economic implications. The Canadian government and businesses are urging both parties to return to the bargaining table or consider binding arbitration to restore service swiftly. Analysts warn that even a brief strike could inflict hundreds of millions in lost earnings for the airline. Meanwhile, the contentious pay disparity—with pilots having received a 26% raise last year compared to the modest offer for predominantly female flight attendants—has intensified calls for fairer, equitable compensation.

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