Air Canada (AC.TO) and the Canadian Union of Public Employees, Tuesday announced that the wage component of their tentative agreement for flight attendants will proceed directly to arbitration.
The four-year deal, reached in August, was not ratified by members but included wage, pension, and benefit improvements, as well as an updated structure for ground duty compensation.
To avoid potential disruption, both parties had previously agreed that unresolved wage matters would move through mediation, and if necessary, arbitration under the Canada Industrial Relations Board's order. On September 12, CUPE requested to bypass mediation, a move Air Canada accepted in the interest of cooperation.
This decision ensures that flight attendants will receive wage increases and retroactive pay dating back to April 2025 while guaranteeing normal flight operations continue without interruption.
AC.TO is currently trading at 18.89 CAD, down 0.09 CAD or 0.47 percent on the Toronto Stock Exchange.
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