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Travel Radar - Aviation News > News > Aviation > Airline Economics > Air Canada to gradually resume service after reaching settlement with union
Airline EconomicsAirlinesAirportsAviationIncidents & AccidentsTravel

Air Canada to gradually resume service after reaching settlement with union

Iman Choksy
Last updated: 19 August 2025 21:29
By Iman Choksy
4 Min Read
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Air Canada flight attendants' picket line at Toronto Pearson International Airport terminal 1 passenger drop-off area.
Air Canada flight attendants' picket line at Toronto Pearson International Airport. © Ohana United
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Air Canada will begin gradually resuming operations today following a mediated agreement with the Canadian Union of Public Employees (CUPE) in Montreal, which represents the airline’s 10,000 flight attendants, overseen by a mutually agreed-to mediator, William Kaplan.

Michael Rousseau, President and Chief Executive Officer of Air Canada said:

“The suspension of our service is extremely difficult for our customers. We deeply regret and apologise for the impact on them of this labour disruption. Our priority now is to get them moving as quickly as possible.”

An Air Canada plane taking off from runway with airport in the background.
Air Canada Boeing 777-300ER taking off from Toronto Pearson International Airport © Aaron Davis

Deal ends three-day grounding as flight attendants return to work

The deal ends a three-day grounding of Air Canada and its low-cost subsidiary, Air Canada Rouge, which halted flights on 16 August amid the labour dispute.

Under the terms of the mediated settlement, flight attendants will return to work immediately, allowing the airline to begin restoring its network.

The first flights are scheduled for the evening of August 19, but customers are advised that the airline’s return to full, regular service may require seven-to-ten days as aircraft and crew are out of position.

During this process, flight cancellations are expected over the next seven to ten days until the schedule is stabilised.

Rousseau continued:

“Restarting a major carrier like Air Canada is a complex undertaking. Full restoration may require a week or more, so we ask for our customers’ patience and understanding over the coming days.

I assure them that everyone at Air Canada is doing everything possible to enable them to travel soon”

Air Canada advised only customers with confirmed bookings on operating flights to travel to airports and will offer options to those with cancelled flights, including obtaining a full refund or receiving a credit for future travel.

The carrier will also offer to rebook customers on other airlines, although capacity is currently limited due to the peak summer travel season.

The airline said it will not comment further on the agreement until it is ratified, however, during the ratification process or under binding arbitration, no strike or lockout can occur.

Air Canada stressed that customers can now plan, book and travel with certainty.

Support desk for US-bound Air Canada passengers that are affected by the flight attendant strike inside a bright, modern airport terminal, with luggage carts and waiting area seats visible in the foreground.
US-bound Air Canada passengers affected by strikes. © Ohana United

Details of the strike and its affect on passengers

Since 16 August over 10,000 flight attendants struck in protest over pay and scheduling insisting Air Canada had failed to address their demands for higher pay and unpaid ground work.

Air Canada estimated that 500,000 customers’ flights have been cancelled as a result of the strikes which The Canadian Union of Public Employees (CUPE) described as ‘unlawful’.

Passengers have gone into detail about how the strikes have affected their travel with some having to go as far as to sleep in the airport after being stranded due to the strikes.

Other labour organisations voiced support for the flight attendants striking, Bea Bruske, President of the Canadian Labour Congress, Canada’s largest labour organisation, told Reuters they were ready to join the Air Canada strike if necessary.

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Iman Choksy
ByIman Choksy
Aviation Reporter - Currently pursuing a NCTJ at News Associates and an intern journalist with Travel Radar, Iman studied English at Brunel University, and Iooks forward to sharing stories that inspire curiosity and a deeper understanding of the places we visit.
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