TORONTO (BN24) — Canada’s federal government forced Air Canada and its flight attendants back to work on Saturday, invoking binding arbitration to end a sudden strike that left more than 100,000 travelers stranded worldwide at the height of the summer travel season. The emergency move came less than 12 hours after 10,000 flight attendants walked off the job, disrupting operations at Canada’s largest airline and causing widespread delays and cancellations.
Federal Jobs Minister Patty Hajdu cited the economic risks posed by the strike and the growing urgency to resume air services. “Now is not the time to take risks with the economy,” Hajdu said, pointing to ongoing U.S. tariffs on Canadian goods and the crucial role of air travel in national connectivity. She directed the Canada Industrial Relations Board to extend the current collective agreement until an arbitrator decides the terms of a new contract.
The work stoppage hit Air Canada’s 700 daily flights, affecting roughly 130,000 passengers per day and stranding about 25,000 Canadians abroad. Among them was Keelin Pringnitz from Ottawa, who, along with her family, was left waiting at London’s Heathrow Airport. “They suggested we fly to the U.S. and sort it out from there, but that didn’t go over well with anyone in line,” she said.
Montreal resident Alex Laroche and his girlfriend were preparing for a long-planned $8,000 vacation to France when their flight was canceled. “At first I was frustrated with the strike, but after reading more about the issues, especially wages, I understand why they’re fighting,” he said.
The strike, sparked by a bitter contract dispute between Air Canada and the Canadian Union of Public Employees (CUPE), centered on compensation and unpaid labor. The airline’s final proposal included a 38% total compensation increase over four years. However, the union criticized the offer, calling the proposed 8% first-year raise insufficient in the face of high inflation. CUPE also highlighted the wage gap between mostly female flight attendants and the airline’s predominantly male pilot corps, who received significant pay raises last year.
CUPE President Wesley Lesosky condemned the government’s swift action. “The Liberal government is rewarding Air Canada’s refusal to negotiate fairly by giving them exactly what they wanted,” he said, calling the move a violation of workers’ constitutional right to strike.
Flight attendants had rejected arbitration a day earlier, seeking to maintain leverage at the bargaining table. But Hajdu said the dispute had clearly reached an impasse, and noted that arbitration is not anti-union but a necessary measure to protect national interests. Carleton University business professor Ian Lee said the intervention is consistent with Canada’s long-standing pattern of stepping in during transportation strikes, citing 45 such cases since 1950.
Air Canada COO Mark Nasr warned it could take up to a week to fully restore operations, even with staff returning. The airline said affected travelers could request full refunds through its website or mobile app and that it would attempt to rebook passengers on other carriers. But due to high summer demand, alternative options are limited and often significantly more expensive. Laroche said many replacement flights were double the $3,000 cost of his original tickets.
Union officials said they remained on picket lines until further notice, uncertain when flight attendants would return. Meanwhile, frustration continued to mount among passengers and employees alike, as the broader implications of the dispute reignited debate over wage equity, gender disparities, and labor rights in Canada’s aviation sector.
Canada previously intervened in a major rail strike last year, prompting legal challenges from unions claiming government overreach. The Business Council of Canada had urged the federal government to act swiftly in the Air Canada case, emphasizing the importance of aviation to the national economy.
“Canadians rely on air travel every day, and its importance cannot be understated,” Hajdu said.
