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Travel Radar - Aviation News > News > Aviation > Airline Economics > Air Canada and CUPE Agree to Cancel Mediation
Airline EconomicsAirlinesAviationTravel

Air Canada and CUPE Agree to Cancel Mediation

Air Canada and the Canadian Union of Public Employees have reached an agreement to improve wages, work-life scheduling and benefits

Ruby Waghorn
Last updated: 16 September 2025 18:45
By Ruby Waghorn
4 Min Read
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Trevor Brine
Protest for better pay for workers © Trevor Brine
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Air Canada and the Canadian Union of Public Employees had reached a tentative four-year agreement in August. CUPE has now requested a cancellation of mediation, requesting that the wage component of the agreement be moved directly to arbitration. Air Canada said in a press release. CUPE represents over 10,000 flight attendants at Air Canada and Air Canada Rouge.

Summary
Air Canada and CUPE settle on an agreementDetails of the contract include pay for flight attendants before and after take-offAbout Air Canada
CUPE workers lobbying against unpaid work on Parliament hill
CUPE workers against unpaid work in the airline industry © CUPE

Air Canada and CUPE settle on an agreement

The agreement was settled without concessions from the Union and included improvements to cabin crew’s wages, pensions and benefits, with additional work to modernise compensation for workers on the ground.

Both Air Canada and CUPE accepted wage portion mediation; if no agreement is reached, the arbitration process will continue by the Canada Industrial Relations Board. No labour disruption was also agreed by both parties, meaning that flights and work will continue as normal with no interruptions for passengers and workers alike. The wage portion will now be moving directly to arbitration.

aIR Canada plane
The agreement was reached with the help of a mediator, AirCanada reports © Graham Hughes

Details of the contract include pay for flight attendants before and after take-off

The Air Canada and CUPE dispute was kicked into mediation after the latter had refused to accept a tentative agreement reached after its members had first staged a massive strike in August.

Negotiations took place for the first time in over 30 years, changing ground pay provisions. Now, flight attendants will be paid for their work before take-off and after landings. Flight attendants on narrow-body aircraft are now contracted to 60 minutes of pay at 50% of their regular hourly wage in the first year of the agreement. By the fourth year of the contract, this will rise to 70% of their hourly wage. For aircraft that are wider-bodied, the contract details that 70 minutes will be paid at the same rate.

For flight attendants on narrow-body aircraft, the contract provides for 60 minutes paid at 50 per cent of the regular hourly wage in the first year of the agreement, gradually rising to 70 per cent of the hourly wage in the fourth year of the contract. For larger, wide-body aircraft, the contract provides for 70 minutes paid at the same rates.

About Air canada
Air Canada aircraft © Siddhant Kanthi

About Air Canada

Air Canada is Canada’s largest airline, holding a Four-Star ranking from Skytrax. They provide flights to more than 180 airports in Canada, the United States and internationally on six continents.

Its loyalty program, Aeroplan, allows members to earn and redeem points with 45 partner airlines and various other partners. Through Air Canada Vacations, it offers extensive travel packages, including hotel, car rentals, cruises and merchandise products.

Air Canada has a goal of achieving net-zero greenhouse gas emissions by 2050, and is a publicly traded company.

What do you think of these Air Canada CUPE negotiations and the outcome? Do share your thoughts in the comments.

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Ruby Waghorn
ByRuby Waghorn
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News Editor - Ruby is currently undertaking her masters degree in Political Communication, with an undergraduate degree in Media, Journalism and Publishing.
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