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Air Canada shutdown looming

Flight attendants threaten to strike, triggering cancellations and government mediation.

August 15, 2025 at 07:25 PM
blur Air Canada faces possibility of having to shut down completely

Air Canada faces a shutdown risk as flight attendants threaten to strike, triggering cancellations and government mediation.

Air Canada shutdown looming as flight attendants strike threatens operations

Air Canada faces a near total shutdown after talks with the flight attendants union failed to reach a provisional agreement. The strike could begin around 1 am Saturday, followed by a company lockout, with about 130,000 passengers affected daily and thousands of travelers stranded abroad. The airline has already begun canceling flights and initiating a phased wind down to minimize disruption.

CUPE, which represents about 10 000 flight attendants, has signaled a clear intent to strike with a strong vote and rejected a binding arbitration offer that could have prevented a work stoppage. Air Canada has defended its stance and warned that a lockout would be needed to reset operations, a process officials say could take up to a week to complete under ideal conditions. Canada’s federal mediator is involved as ministers urge a fast, good faith resolution.

Key Takeaways

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Strike risk remains high with a potential 1 am Saturday start
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Over 10 000 flight attendants would participate in the action
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Around 130 000 passengers could be affected daily
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25000 Canadians abroad could be stranded
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CUPE voted 99.7 percent to strike
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Air Canada has begun flight cancellations and a phased wind down
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Mediation is being urged by the federal government
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Restart could take about a week under best conditions

"We strongly urge the parties to work with federal mediators and get a deal done. Time is precious and Canadians are counting on you."

Minister Hajdu urging mediation and a swift deal

"The appropriate course of action is for Air Canada to return to the table and resume good faith bargaining."

CUPE statement on negotiation

"This would take a full week to complete under the best circumstances"

Air Canada chief operating officer Mark Nasr on restart timeline

"The duration of any grounding remains uncertain"

Article note on grounding length

The dispute tests how Canada handles essential services during pressure moments. A shutdown would ripple across families, businesses, and international travel, elevating political scrutiny and budget concerns as mediation unfolds. If talks stall, expect cascading cancellations and a scramble for alternatives that strain other parts of the travel ecosystem.

A quick breakthrough would matter as much for public trust as for profits. Restoring service swiftly would reduce economic pain and limit reputational damage to Air Canada, but a lasting settlement will still hinge on wages and working conditions that satisfy employees while preserving airline viability in a tough market.

Highlights

  • Time is precious and Canadians are counting on you
  • Grounded flights hit families and businesses hard
  • Deal talks must move faster than a press release
  • Politicians and airlines will face the heat if this drags on

Air Canada strike risks political and budget fallout

A looming shutdown would disrupt Canada s main carrier and affect travelers, businesses and international services. The dispute raises political optics and budget concerns as government mediation steps in to avoid widespread disruption.

The outcome will shape Canada s travel network for days to come

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