In a swift response to escalating tensions, the Canadian government has intervened in the Air Canada strike, enforcing binding arbitration as the airline has suspended a multitude of flights. Jobs Minister Patty Hajdu mandated the negotiations shortly after the strike commenced Saturday morning, citing the need to resolve the deadlock affecting the country’s largest airline.

"Despite significant government support, the parties were unable to reconcile their differences quickly," stated Hajdu, emphasizing the necessity of maintaining stability and seamless supply chains. The strike has led to around 500 flights daily being impacted, with Air Canada advising travelers against going to the airport unless they are using alternative airlines.

The union representing more than 10,000 flight attendants, the Canadian Union of Public Employees (Cupe), reacted strongly to the government's intervention, claiming it infringes on their charter rights. They labeled the situation a "terrible precedent" for labor relations moving forward.

As of Saturday, the airline had suspended all flights, including those operated by its budget branch, Air Canada Rouge, affecting travel plans for approximately 130,000 individuals each day. Flight attendants are currently advocating for increased salaries and compensation for pre-flight duties, which they feel are not adequately addressed in current offers.

Air Canada stated that it deeply regrets the disruption to its customers, who previously experienced cancellations of over 600 flights affecting a large number of passengers as operations were wound down in anticipation of the strike.

While the airline proposed a 38% total compensation increase over four years, including a first-year raise of 25%, Cupe described this offer as inadequate, arguing that it falls short of inflation and market standards. The union claims that after eight months of negotiations, Air Canada opted for a government-managed approach rather than engaging genuinely with their requests.

Earlier this month, a staggering 99.7% of union members voted to take strike action, affirming their resolve to negotiate better working conditions and compensation. In a statement to its members, Cupe criticized Air Canada for seeking federal involvement instead of negotiating in good faith, signaling an ongoing struggle between the airline and its flight attendants.