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Airline Industry Faces Critical Labour Negotiations in the Year Ahead

On Dec. 28, 2025, The Canadian Press reported strikes by Air Canada flight attendants and WestJet mechanics halted operations, causing more than 3,000 cancellations and costing $375 million.
Years of long contracts and modest raises left pressure as long 10-year agreements aged, while rising living costs and U.S. airlines' gains fueled steeper demands amid COVID-19 pandemic losses.
The federal labour minister has triggered Section 107 of the Canada Labour Code eight times since June 2024, but cabin crew ignored a back-to-work order, forcing quick deals, Air Canada CEO Michael Rousseau said `we thought obviously that Section 107 would be enforced`.
Labour uncertainty will shape the coming year as collective agreements with WestJet pilots and Air Canada mechanics and baggage handlers expire by the end of March, while Porter Airlines' flight dispatchers could strike legally as early as Jan. 20.
Large settlements have shifted the calculus, with Air Transat pilots topping 60 per cent and Air Canada pilots nearly 42 per cent wage gains, while John Gradek said the process was `broken`.

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