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Air Canada Strike Deemed Illegal as Attendants Defy Return-to-Work Order

A challenge to binding arbitration in federal court has kept thousands of flights grounded, forcing Air Canada to delay its restart until Monday evening.

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Air Canada employees and union members protest outside the Air Canada headquarters in Montreal, Sunday, Aug. 17, 2025, after the federal government intervened in the labour dispute between the airline and the union representing its flight attendants, ordering binding arbitration and operations to resume. THE CANADIAN PRESS/Graham Hughes
Passengers walk past an Air Canada sign, ahead of a potential strike by flight attendants of the airline, at the Toronto Pearson International Airport in Mississauga, Ontario, Canada, August 14, 2025. REUTERS/Kyaw Soe Oo/File Photo

Overview

  • The Canada Industrial Relations Board declared the strike by 10,000 flight attendants illegal under Section 107 and ordered them to return to work immediately.
  • The Canadian Union of Public Employees defied the ruling, with leader Mark Hancock ripping up the order at Toronto Pearson Airport and filing a federal court challenge.
  • Air Canada suspended its planned Sunday resumption and now anticipates restarting about 240 of its usual 700 daily flights on Monday evening.
  • Hundreds of cancellations have disrupted roughly 130,000 travellers per day, leaving thousands of passengers stranded and prompting offers of refunds, credits and rebookings.
  • Flight attendants are pressing for higher wages and compensation for ground work, raising questions about government intervention and arbitration precedent.