Air Canada announced Monday morning that it is preparing to suspend operations in anticipation of a potential pilot strike. The airline indicated that flight cancellations might begin as soon as Friday. If no agreement is reached by Sunday, either Air Canada or the Air Line Pilots Association (ALPA), which represents 5,200 of the airline's pilots, could issue a 72-hour notice for a lockout or strike.

Air Canada President and CEO Michael Rousseau stated that although there is still time to reach a deal with the pilots, recent disruptions caused by sudden airline shutdowns have highlighted the need to take proactive measures.

“Canadians have recently seen the chaos abrupt airline shutdowns cause for travellers, which obliges us to do everything we can to protect our customers from an increasingly likely work stoppage,” he said. 

Why Air Canada Pilots Are Threatening To Strike

Air Canada's 5,200 pilots are seeking wage increases in their new contract to close the pay gap with their peers at major US airlines such as United Airlines.

A strike could potentially begin as early as September 18. Air Canada and its budget arm, Air Canada Rouge, together handle nearly 670 flights daily, and a shutdown could impact 110,000 passengers each day, along with freight services. 

Air Canada expects that after a full shutdown, it will take seven to ten days for normal operations to be restored.

Business Groups Urge Canadian Government To Prevent Air Canada Pilot Strike

Approximately 100 business groups on Wednesday called on the Canadian government to avert a strike by Air Canada pilots. They warned that a work stoppage could disrupt supply chains and damage the nation's reputation as a dependable trading partner. 

In a letter to Labour Minister Steven MacKinnon, the business groups highlighted that he had swiftly intervened last month to prevent a stoppage at the country's two major rail companies, enforcing a return to work and binding arbitration.

"The federal government needs to take decisive action. The impacts of a labour disruption at Air Canada will ripple throughout the economy," they said.

Air Canada Gears Up For Orderly Shutdown

Customers who purchased a ticket or used Aeroplan points for a flight scheduled between September 15 and 23, and booked on or before September 9, can now make changes to their reservations at no charge under Air Canada's goodwill policy, according to cbc news. 

Customers who cancel their flights will receive a full refund if they bought a refundable fare. However, a cancellation fee may be charged depending on the ticket type.

Customers can also reschedule their flight with Air Canada (including Rouge and Express) to a new date between September 9 and 14, or between September 24 and November 30, 2024.