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Air Canada and Flight Attendants Reach Tentative Deal as Airline Begins Gradual Restart

The union says the pact guarantees pay for boarding and other ground duties.

A passenger walks as striking Air Canada flight attendants hold placards as they defy a back to work order at Vancouver International Airport in Richmond, British Columbia, Canada August 18, 2025. REUTERS/Chris Helgren/File Photo
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Mark Hancock, National President of the Canadian Union of Public Employees (CUPE), attends a picket line with striking Air Canada flight attendants amid a standoff with a government board that said the stoppage was unlawful, at Toronto Pearson International Airport in Mississauga, Ontario, Canada August 18, 2025. REUTERS/Kyaw Soe Oo

Overview

  • Mediated talks late Monday led by William Kaplan produced a tentative agreement early Tuesday that pauses the walkout pending member ratification.
  • Air Canada plans a phased resumption starting the evening of Aug. 19, warning full schedule normalization may take seven to ten days and that some flights will still be canceled.
  • The dispute escalated after the union defied Canada Industrial Relations Board back‑to‑work orders issued under Section 107, creating a rare standoff with the airline and government.
  • Air Canada estimates roughly 500,000 customers were affected by cancellations and has withdrawn quarterly and full‑year guidance due to the disruption.
  • A central issue was unpaid time on the ground; the union says the tentative deal secures that pay as well as wage improvements after months of talks that included a company offer of a four‑year, 38% lift in total compensation.