Canada’s government forced Air Canada and its striking flight attendants back to work and into arbitration Saturday after a work stoppage stranded more than 100,000 travelers around the world during the peak summer travel season.
Federal Jobs Minister Patty Hajdu said now is not the time to take risks with the economy, noting the unprecedented tariffs the US has imposed on Canada. The intervention means the 10,000 flight attendants will return to work soon, reports AP.
The shutdown of Canada’s largest airline early Saturday is impacting about 130,000 people a day, and some 25,000 Canadians may be stranded. Air Canada operates around 700 flights per day.
The government’s action came less than 12 hours after workers walked off the job.
“The talks broke down. It is clear that the parties are not any closer to resolving some of the key issues that remain and they will need help with the arbitrator,” Hajdu said.
Hajdu said the full resumption of services could take days, noting it is up to the Canada Industrial Relations Board. Meanwhile, Wesley Lesosky, president of the Air Canada Component of the CUPE union, accused the government of violating the flight attendants’ constitutional right to strike — and decried Hajdu for only waiting hours to intervene.
“The Liberal government is rewarding Air Canada’s refusal to negotiate fairly by giving them exactly what they wanted,” Lesosky said.
Air Canada did not immediately have additional comments when reached Saturday afternoon. But Air Canada Chief Operating Officer Mark Nasr previously said it could take up to a week to fully restart operations. It is likely that travelers will continue to see disruptions in the coming days.
According to numbers from aviation analytics provider Cirium, Air Canada had canceled a total of 671 flights by Saturday afternoon — following 199 on Friday. And another 96 flights scheduled for Sunday were already suspended.

Hajdu ordered the Canada Industrial Relations Board to extend the term of the existing collective agreement until a new one is determined by the arbitrator.
Union spokesman Hugh Pouliot did not immediately know what day workers would return to work. “We’re on the picket lines until further notice,” he said.
The bitter contract fight escalated Friday as the union turned down Air Canada’s prior request to enter into government-directed arbitration, which allows a third-party mediator to decide the terms of a new contract.
Flight attendants walked off the job around 1am EDT on Saturday. Around the same time, Air Canada said it would begin locking flight attendants out of airports.
The Business Council of Canada had urged the government to impose binding arbitration in this case, too. And the Canadian Chamber of Commerce welcomed the intervention.
“With valuable cargo grounded and passengers stranded, the government made the right decision to refer the two sides to binding arbitration,” said Matthew Holmes, the executive vice president for the Chamber of Commerce — adding that “close to a million Canadians and international visitors could be impacted” if it takes Air Canada a week to be fully operational again.
Hajdu maintained that her Liberal government is not anti-union, saying it is clear the two sides are at an impasse.
Passengers whose flights are impacted will be eligible to request a full refund on the airline’s website or mobile app, according to Air Canada.
The airline said it would also offer alternative travel options through other Canadian and foreign airlines when possible. Still, it warned that it could not guarantee immediate rebooking because flights on other airlines are already full “due to the summer travel peak.”
Air Canada and the Canadian Union of Public Employees have been in contract talks for about eight months, but they have yet to reach a tentative deal.
Both sides say they remain far apart on the issue of pay and the unpaid work flight attendants do when planes are not in the air.
“We are heartbroken for our passengers. Nobody wants to see Canadians stranded or anxious about their travel plans but we cannot work for free,” Natasha Stea, an Air Canada flight attendant and local union president, said before the government intervention was announced.
The attendants are about 70% women. Stea said Air Canada pilots, who are male dominated, received a significant raise last year and questioned whether they are getting fair treatment.
The airline’s latest offer included a 38% increase in total compensation, including benefits and pensions over four years, that it said “would have made our flight attendants the best compensated in Canada.”
But the union pushed back, saying the proposed 8% raise in the first year did not go far enough because of inflation.



