Impasse in Negotiations Leads to Strike Threat

Air Canada announced on Tuesday that the Canadian Union of Public Employees (CUPE), representing 10,000 flight attendants, has rejected the airline's proposal for binding third-party arbitration. This rejection has pushed negotiations to a critical point.

Potential Airline Shutdown Looms

The airline warned that both parties could issue a statutory 72-hour strike or lockout notice starting at 12:01 am ET on August 13. This action could lead to a shutdown of Air Canada as early as August 16, disrupting thousands of travelers.

Air Canada's Stance and Contingency Plans

Despite the looming threat of a strike, Air Canada expressed its willingness to continue negotiations with CUPE. The airline also noted that Air Canada Express flights would remain operational during any potential disruption, as these services are operated by third-party companies.