Air Canada and the Air Line Pilots Association (ALPA), the union representing more than 5,200 pilots from both the main airline and Air Canada Rouge, have reached a tentative agreement for a new four-year collective contract, during which the cumulative salary increase would reach approximately 41.7%.
Negotiations lasted for almost a year, as the previous collective agreement had ended on September 29, 2023.
In this way, the 72-hour strike that the union had scheduled to start this Sunday is deactivated, which would have meant the cancellation of hundreds of flights that initial projections estimated would affect more than 300,000 passengers.
“The new agreement recognizes the contributions and professionalism of the Air Canada pilots group while providing a framework for the airline’s future growth. The terms of the new agreement will remain confidential pending a ratification vote by the members, which is expected to be completed during the next month, and approval by the Air Canada Board of Directors,” the airline said in a statement.
Charlene Hudy, the union representative, said, “Although it has been an exceptionally long road to reach this agreement, the constant commitment and unified determination of our pilots have been the catalyst to achieve this contract.”
“After several consecutive weeks of intense negotiations around the clock, progress has been made on several key issues, such as compensation, retirement, and labor standards. This agreement, if ratified by the pilot group, would officially put an end to our outdated and stale framework that has been in place for ten years,” she added.
Air Canada also reported that customers who made flight changes between September 15 and 23, who were going to be affected by the strike, can modify their reservations again to fly on the originally scheduled date, at no extra cost, but subject to seat availability.
Details of the agreement between Air Canada and its pilots
Some of the main points of the new tentative agreement are:
- Cumulative salary increase of 41.7% over four years.
- In the first year, the average increase will be 26%, followed by annual adjustments of 4% until 2027.
- All flights with Air Canada aircraft will be operated with no fewer than two Air Canada pilots in the flight deck.
- Wet-leasing contract periods with other operators are limited to 90 days.
- Reinstatement of biannual indexation for retirees for 8 years, with guaranteed and conditional increases based on the health of the pension surplus.
- All days off are now Guaranteed Days Off (GDOs).
- Increase in Mandatory Monthly Days Off (SDOs) to 8 days.
- Unlimited health coverage in some aspects, with increases in life insurance, massage therapy, and mental health coverage.
The full agreement can be reviewed at this link.
