CUPE Air Canada Component Enters Arbitration in High-Stakes Battle Over Flight Attendant Wages
The Air Canada Component of the Canadian Union of Public Employees (CUPE) has officially entered the first day of arbitration proceedings with Air Canada, marking a critical new phase in a long and contentious labour dispute over flight attendant wages. The arbitration, overseen by respected labour arbitrator Paula Knopf, follows an overwhelming rejection of Air Canada’s final wage proposal by flight attendants, with more than 99 percent voting against the offer in September 2025.
This arbitration is the culmination of months of tense negotiations, political intervention, and unprecedented labour resistance, reflecting not only a dispute over compensation but also a broader struggle over workers’ rights, respect, and the value placed on safety-critical aviation roles.
According to CUPE Air Canada Component President Wesley Lesosky, the arbitration hearings serve as an important moment of transparency and accountability for union members.
These hearings will provide our members an opportunity to hear the facts around what transpired in the negotiations spanning December 2024 to August 2025, and also a sense of what to expect from the process going forward,” Lesosky said. “It will also give our members an opportunity to hear the extent to which Air Canada values our members and the vital, safety-critical work they do every day.”
A Prolonged Negotiation Process
Negotiations between Air Canada and its flight attendants began in December 2024, as the parties sought to renew and improve an expired collective agreement. From the outset, CUPE has maintained that flight attendants at Air Canada have fallen significantly behind industry standards in terms of compensation, despite rising workloads, increased responsibilities, and the airline’s return to strong profitability following the pandemic.
Flight attendants argue that their work is frequently misunderstood as customer service-focused, when in reality it is deeply rooted in safety, emergency response, and regulatory compliance. They are responsible for passenger safety during evacuations, medical emergencies, fires, turbulence, and security threats—often under extreme pressure and with little margin for error.
Despite these responsibilities, CUPE contends that Air Canada’s wage proposals failed to reflect the skill, training, and risk involved in the role. The union has also highlighted persistent issues such as unpaid ground duties, long duty days, and the financial strain placed on workers who must remain available for extended periods without adequate compensation.
By August 2025, negotiations had reached an impasse.
Federal Intervention and the Right to Strike
In a move that drew widespread criticism from labour advocates, Air Canada sought and received the support of the federal government to impose a back-to-work order, effectively stripping flight attendants of their Charter-protected right to strike in pursuit of better wages and working conditions.
The intervention was justified on the grounds of maintaining economic stability and preventing disruptions to the national transportation system. However, CUPE and other unions argued that the government’s actions amounted to siding with a profitable corporation at the expense of workers’ fundamental rights.
The controversy intensified when Air Canada CEO Michael Rousseau publicly admitted during a live television interview that the airline had not made contingency plans for a potential strike. According to Rousseau, the company anticipated that the federal government would intervene to stop any job action before it could occur.
For many flight attendants, this admission reinforced their belief that the system was stacked against them.
Defiance and a Return to the Bargaining Table
Despite the back-to-work order, Air Canada flight attendants took the extraordinary step of defying the federal directive, refusing to simply accept what they viewed as unjust treatment. Their collective resistance forced Air Canada back to the bargaining table, creating renewed pressure on the employer to improve its offer.
As a result of this renewed bargaining, the parties reached progress on certain issues, including improved compensation for ground duties—time spent working on aircraft before and after flights, often without pay under previous arrangements.
However, the airline remained firm on its position regarding hourly wage rates, refusing to make further concessions in this critical area. With neither side willing to compromise further, both parties agreed to refer the final question of wages to binding arbitration.
Courage at the Core of the Dispute
For CUPE leadership, the decision to proceed to arbitration is inseparable from the courage demonstrated by flight attendants throughout the dispute.
“The fact that we are here is a testament to the courage of our members,” said Lesosky. “We refused to back down when a multi-billion-dollar company and their enforcers in the federal government tried to put their boots on our necks.”
Lesosky emphasized that the improvements already achieved—particularly on ground pay—were not granted voluntarily by Air Canada, but won through sustained pressure and collective action.
“We achieved a better deal because of the bravery of our flight attendants,” he said. “Now we are hopeful we will make our case before the arbitrator that our members deserve better than the poverty wages offered by our employer.”
The Stakes of Arbitration
The arbitration process now places the responsibility for determining fair wages in the hands of Arbitrator Paula Knopf, who will hear detailed submissions from both CUPE and Air Canada. The arbitrator is expected to examine a range of factors, including industry comparisons, cost of living pressures, company profitability, recruitment and retention challenges, and the essential safety role performed by flight attendants.
For CUPE members, the arbitration represents both an opportunity and a risk. While arbitration can deliver impartial outcomes, it also removes direct leverage from workers who had already demonstrated overwhelming unity and readiness to fight for improved conditions.
Still, union leaders remain confident that the facts are on their side.
Flight attendants point to rising inflation, soaring housing costs in major Canadian cities, and increasing workloads as evidence that existing wage structures are unsustainable. Many workers report struggling to make ends meet despite working for Canada’s flagship airline, a reality that CUPE argues is incompatible with the company’s public image and financial success.
Broader Implications for Labour Rights
Beyond the immediate wage dispute, the Air Canada arbitration has broader implications for labour relations in Canada. The federal government’s willingness to intervene preemptively in a labour dispute has raised concerns among unions about the erosion of collective bargaining rights, particularly in federally regulated industries.
Labour experts warn that such interventions risk normalizing the suspension of Charter rights whenever economic or political pressure mounts, leaving workers with limited tools to advocate for fair treatment.
For flight attendants, the arbitration is about more than pay. It is about dignity, respect, and recognition.
As the hearings proceed, CUPE members will be watching closely, hoping that the arbitration process delivers an outcome that reflects the reality of their work and the sacrifices they make every day to ensure the safety and comfort of millions of passengers.
The outcome will not only shape the future of Air Canada flight attendants but may also set a precedent for how labour disputes are handled in Canada’s transportation sector for years to come.
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