The Canadian Union of Public Employees (CUPE) is not settling for unsatisfactory deals, and Air Canada is bearing the brunt of its rejection. After a brief strike that significantly disrupted operations, the new Air Canada union deal has been rejected by flight attendants. While travelers will be glad to know that no strikes or lockouts will disrupt their travel plans as a result of this decision, the Air Canada wage vote still shows that the union members have a long battle ahead of them to settle on a fair pay model to compensate them for their services.
The Air Canada deal has been rejected by CUPE union members, and while there is no risk of another strike, the conflict between the two parties continues. (Image: Pexels)
Air Canada Deal Rejected by Flight Attendants: What’s Next for the Airline?
Air Canada flight attendants launched a strike against the organization last month, with over 10,000 employees who were part of the CUPE union voting to demand good faith negotiations on wages and unpaid labor. The strike went on despite a back-to-work order from the federal government within 12 hours of the strike, which threatened jail time and legal action against them.
With the grounding of hundreds of flights and passengers stranded at airports due to the uncertainty about the flights, Air Canada was forced to reopen negotiations, effectively ending the strike after four days. The negotiated contract was up for a vote, and 94.6 per cent of the 10,000 flight attendants turned out to cast ballots, with 99.1% of the flight attendants voting “no” to the proposed contract.
What Does the Air Canada Deal Offer?
With the newly proposed contract, ground pay gains momentum. One of the key reasons for the strike was to demand pay for their services before takeoff and after landing, as they were only compensated for the hours they worked after takeoff. With the new contract, flight attendants are expected to receive 50% of their hourly rates for one hour before takeoff, with the compensation rising to 70% by the end of the four-year contract.
This has been a sticking point in contracts for flight attendants everywhere, as the compensation plans currently benefit from the unpaid labor in prepping for the flights. What is interesting, however, is that this aspect of the Air Canada deal has not been rejected. The wage negotiations are the only part of the contract that flight attendants were allowed to vote on.
In this regard, the Air Canada deal was rejected because the members weren’t satisfied with the proposed increase of 20.25% for entry-level flight attendants and 16.25% for senior attendants with over six years of experience, both expected to unfold over the course of the four-year contract. The union members did not agree that the proposed wage increments were sufficient to keep up with the cost of living.
What’s Next for Air Canada, Another Strike?
No, there will be no further strikes at Air Canada for now, as the carrier and CUPE agreed that no further labor disruptions would be initiated. The Air Canada wage vote will now be subjected to further mediation for a new deal. If the union and employer still can’t reach a deal, an arbitrator from the Canada Industrial Relations Board will be called in to oversee the matter. Their decision on the case will be final, preventing either party from challenging the terms.
As CUPE rejects the deal, members continue to be unsatisfied with the nature of negotiations and the proposed changes to wages. “Even with the proposed increase, Air Canada flight attendants would still earn less than federal minimum wage,” CUPE said in their statement. The nature of the work makes it harder for flight attendants to find alternative sources of employment.
As CUPE Rejects Deal, Conversations Around Fair Wages Continue to Grow
The union has also been frustrated with Air Canada’s approach to negotiations. “Air Canada never bargained in good faith on wages. By CEO Michael Rousseau’s own admission, the company expected the federal government to intervene and take away the only leverage we had–our right to go on strike,” Wesley Lesosky, the president of the Air Canada wing of CUPE, said in a statement.
The shifting conversations around wages and fair compensation for services rendered continue to grow in the US as well, with Boeing labor workers striking against the company. The disruption to work and operations serves as a good reminder for employers and HR teams to collaborate with employees to ensure that they are fairly compensated. Strikes and lockouts lead to growing conflict and feelings of resentment that can take years to resolve.
With the Air Canada deal rejected, the carrier now has another chance to win over its flight attendants and ensure that the matter is resolved peacefully once and for all.
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