
Government forces Air Canada and flight attendants back to work and into arbitration
Federal Jobs Minister Patty Hajdu said now is not the time to take risks with the economy, noting the unprecedented tariffs the U.S. has imposed on Canada. The intervention means the 10,000 flight attendants will return to work soon.
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. With the timing of when the carrier will fully resume operations still up in the air, travelers could continue to face disruptions in the coming days.
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.
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.
'Canadians rely on air travel every day, and its importance cannot be understated,' she said.
Union spokesman Hugh Pouliot didn't 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.
Air Canada Chief Operating Officer Mark Nasr has said it could take up to a week to fully restart operations.
Flight attendants walked off the job around 1 a.m. EDT on Saturday. Around the same time, Air Canada said it would begin locking flight attendants out of airports.
Ian Lee, an associate professor at Carleton University's Sprott School of Business, earlier noted the government repeatedly intervenes in transportation strikes.
'They will intervene to bring the strike to an end. Why? Because it has happened 45 times from 1950 until now,' Lee said. 'It is all because of the incredible dependency of Canadians.'
Last year, the government forced the country's two major railroads into arbitration with their labor union during a work stoppage. The union for the rail workers is suing, arguing the government is removing a union's leverage in negotiations.
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."
Many travelers expressed frustration over Air Canada's response to the strike.
Jean‐Nicolas Reyt, 42, said he had heard little from Air Canada just hours before his upcoming flight from France scheduled for Sunday.
'What's stressful is to not hear anything from Air Canada,' said Reyt, who is trying to return to Montreal, where he is an associate professor of organizational behavior at McGill University. He said he only received one email from the airline on Thursday warning of potential strike disruptions, but had no further information as of Saturday evening in Cannes, where he was visiting family.
Reyt assumes his upcoming flight could be canceled — much like the scores of other lengthy disruptions this weekend. 'I'm just very surprised that Air Canada let it go this far,' he said. 'It's really a bit disheartening that they fly you somewhere abroad and then they just don't fly you back.'
Jennifer MacDonald, of Halifax, Nova Scotia, expressed similar frustration. She has been trying to help her brother and cousin get home to Edmonton, Alberta since the second leg of their Air Canada trip was canceled during what was supposed to be a 1-hour layover in Montreal on Friday night.
The two had to pay $300 out of their own pocket for a hotel, MacDonald said. All Saturday morning, they tried to look for rebooking options, but everything was sold out, she added. Eventually, they opted to book a new flight for Aug. 22 out of Halifax, with another family member volunteering to make an eight-hour drive to pick them up in Montreal and bring them back east on Saturday.
'It will be a multiday ordeal and a multi thousand dollar trip,' MacDonald said. But as stressful as the disruptions have been, she added that her family stands in solidarity with the flight attendants. 'We hope that Air Canada lifts the lockout and negotiates fairly.'
Following the news of the Canadian government forcing arbitration on Saturday, Reyt also expressed concern for Air Canada's flight attendants. 'I think the flight attendants are making some reasonable arguments,' he said, adding that he hopes the intervention isn't "a way just to silence them.'
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 aren't 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 didn't go far enough because of inflation. ___
Grantham-Philips reported from New York. Airlines reporter Rio Yamat contributed to this report from Las Vegas.

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News18
an hour ago
- News18
Trump runs into difficulty of Putin diplomacy
Agency: PTI Last Updated: New York, Aug 17 (AP) President Donald Trump walked into a summit with Russia's Vladimir Putin pressing for a ceasefire deal and threatening 'severe consequences" and tough new sanctions if the Kremlin leader failed to agree to halt the fighting in Ukraine. Instead, Trump was the one who stood down, dropping his demand for a ceasefire in favour of pursuing a full peace accord — a position that aligns with Putin's. After calls with Ukrainian President Volodymyr Zelenskyy and European leaders, Trump wrote as he flew home from Friday's meeting in Alaska that it had been 'determined by all that the best way to end the horrific war between Russia and Ukraine is to go directly to a Peace Agreement, which would end the war, and not a mere Ceasefire Agreement, which often times do not hold up." It was a dramatic reversal that laid bare the challenges of dealing with Putin, a cunning adversary, as well as the complexities of a conflict that Trump had repeatedly boasted during his campaign that he could solve within 24 hours. Trump's position after the summit with Putin Few details have emerged about what the two leaders discussed or what constituted the progress they both touted. The White House did not respond to messages seeking comment Saturday. While European leaders were relieved that Trump did not agree to a deal that ceded territory or otherwise favoured Moscow, the summit allowed Putin to reclaim his place on the world stage and may have bought Russia more time to push forward with its offensive in Ukraine. 'We're back to where we were before without him having gone to Alaska," said Fiona Hill, who served as Trump's senior adviser on Russia at the National Security Council during his first term, including when he last met Putin in Helsinki in 2018. In an interview, Hill argued that Trump had emerged from the meeting in a weaker position on the world stage because of his reversal. Other leaders, she said, might now look at the US president and think he's 'not the big guy that he thinks he is and certainly not the dealmaking genius." 'All the way along, Trump was convinced he has incredible forces of persuasion," she said, but he came out of the meeting without a ceasefire — the 'one thing" he had been pushing for, even after he gave the Russian leader the 'red carpet treatment." Trump has 'run up against a rock in the form of Putin, who doesn't want anything from him apart from Ukraine," she said. Democrats call for consequences for Putin At home, Democrats expressed alarm at what at times seemed like a day of deference, with Trump clapping for Putin as he walked down a red carpet during an elaborate ceremony welcoming him to US soil for the first time in a decade. The two rode together in the presidential limousine and exchanged compliments. Trump seemed to revel in particular in Putin echoing his oft-repeated assertion that Russia never would have invaded Ukraine if Trump had been in office instead of Democrat Joe Biden at the time. Before news cameras, Trump did not use the opportunity to castigate Putin for launching the largest ground invasion in Europe since World War II or human rights abuses he's been accused of committing. Instead, Putin was the one who spoke first, and invited Trump to join him in Moscow next. 'President Trump appears to have been played yet again by Vladimir Putin," said Democratic Sen. Jeanne Shaheen of New Hampshire, ranking member of the Senate Foreign Relations Committee. 'The President rolled out a red carpet and warmly greeted a murderous dictator on American soil and reports indicate he got nothing concrete in return." 'Enough is enough," she went on. 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Murkowski said it 'was also encouraging to hear both presidents reference future meetings" but that Ukraine 'must be part of any negotiated settlement and must freely agree to its terms." Sen. Lindsey Graham, a South Carolina Republican and close Trump ally, offered that he was 'very proud" of Trump for having had the face-to-face meeting and was 'cautiously optimistic" that the war might end 'well before Christmas" if a trilateral meeting between Trump, Zelenskyy and Putin transpires. 'I have all the confidence in the world that Donald Trump will make it clear to Putin this war will never start again. If it does, you're going to pay a heavy price," he said on Fox News. For some Trump allies, the very act of him meeting with Putin was success enough: conservative activist and podcaster Charlie Kirk called it 'a great thing." Some see a Putin win and a Trump loss But in Europe, the summit was seen as a major diplomatic coup for Putin, who has been eager to emerge from geopolitical isolation. Former Russian President Dmitry Medvedev, deputy head of Russia's Security Council, praised the summit as a breakthrough in restoring high-level dialogue between Moscow and Washington, describing the talks as 'calm, without ultimatums and threats." Former Swedish Prime Minister Carl Bildt said the summit was 'a distinct win for Putin. He didn't yield an inch" but was also 'a distinct setback for Trump. No ceasefire in sight." 'What the world sees is a weak and wobbling America," Bildt posted on X. (AP) GRS GRS (This story has not been edited by News18 staff and is published from a syndicated news agency feed - PTI) view comments First Published: August 17, 2025, 10:45 IST News agency-feeds Trump runs into difficulty of Putin diplomacy Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.


Mint
an hour ago
- Mint
He earned a small towns trust. He owed $95 million in what authorities say was a Ponzi scheme
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Hindustan Times
4 hours ago
- Hindustan Times
Ukraine President Zelensky says Russia refusing ceasefire ‘complicates situation'
Ukrainian President Volodymyr Zelensky said Russia refusing to accept a ceasefire was complicating efforts to end Moscow's more than three-year-long conflict. Volodymyr Zelenskyy said, that if they lack the will to carry out a simple order to stop the strikes, it may take a lot of effort to get Russia to have peaceful coexistence.(AP) "We see that Russia rebuffs numerous calls for a ceasefire and has not yet determined when it will stop the killing. This complicates the situation," he said in a social media post late Saturday. 'If they lack the will to carry out a simple order to stop the strikes, it may take a lot of effort to get Russia to have the will to implement far greater -- peaceful coexistence with its neighbors for decades.