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Business and Economy - August 19, 2025

Air Canada Strike Ends: 10,000 Flight Attendants Return as Service Restoration Begins

Air Canada announced Tuesday that it will gradually resume operations following an agreement with the flight attendants’ union, bringing an end to a strike that has disrupted travel plans for approximately 130,000 passengers daily at the height of the summer travel season.

The union made the announcement early on Tuesday, marking the first resumption of talks between the airline and the union since the strike commenced over the weekend. The dispute stemmed from Air Canada’s request for the flight attendants to enter into government-directed arbitration, which would have a third-party mediator decide the terms of a new contract.

The union’s agreement guarantees members pay for work performed while planes are on the ground, addressing one of the primary issues driving the strike. In a statement, the union stated, “Unpaid labor is now a thing of the past. We have reclaimed our voice and our power.”

Air Canada CEO Michael Rousseau acknowledged that restoring a major carrier is a complex process and predicted that regular service may take between seven to ten days to be fully restored. Some flights will be canceled until the schedule stabilizes.

“We ask for our customers’ patience and understanding during this time,” Rousseau said in a statement. “Restoration of normal operations may require a week or more.”

The agreement was reached with the assistance of a mediator early Tuesday morning. Air Canada confirmed that mediation discussions were initiated under the condition that the airline’s 10,000 flight attendants would immediately return to work. The airline declined further comment until the ratification process is completed. It noted that a strike or lockout is not possible during this period.

Earlier, Air Canada announced that rolling cancellations would extend through Tuesday afternoon due to the union’s defiance of a second return-to-work order. The Canada Industrial Relations Board had declared the strike illegal on Monday and ordered the flight attendants back on duty. However, the union stated it would disregard the directive. Union leaders also disregarded a weekend order to submit to binding arbitration and end the strike by Sunday afternoon.

The board is an independent administrative tribunal that interprets and applies Canada’s labor laws. The government ordered the board to intervene. Labor leaders objected to the Canadian government’s repeated use of a law that curtails workers’ right to strike and forces them into arbitration, a measure the government employed in recent years with workers at ports, railways, and elsewhere.

“Your right to vote on your wages was preserved,” the union said on its website.

Air Canada operates around 700 flights daily. The airline estimated Monday that 500,000 customers would be affected by flight cancellations. Aviation analytics firm Cirium reported that as of Monday afternoon, Air Canada had canceled at least 1,219 domestic flights and 1,339 international flights since last Thursday, when the carrier began gradually suspending its operations ahead of the strike and lockout that started early Saturday.

Toronto’s Pearson International Airport, Canada’s largest, announced it would deploy additional staff to assist passengers and support startup operations. 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.