Travelers across Canada and around the world faced a weekend of chaos as Air Canada’s 10,000 flight attendants walked off the job on August 16, 2025, launching a strike that disrupted the travel plans of more than 100,000 people during the height of the summer season. The walkout, which began in the early hours of Saturday, forced the country’s largest airline to ground hundreds of flights and left airports teeming with stranded passengers, many visibly frustrated as they scrambled for alternatives.
Within 12 hours, the Canadian government stepped in to halt the strike, with Federal Jobs Minister Patty Hajdu ordering the flight attendants back to work and referring the dispute to binding arbitration. According to CBS News and The Guardian, Hajdu cited the ongoing economic challenges facing Canadian families and businesses, including the impact of recent U.S. tariffs, as reasons for her swift intervention. “In a year in which Canadian families and businesses have already experienced too much disruption and uncertainty, this is not the time to add additional challenges and disruptions to their lives and our economy,” Hajdu said in a statement. She emphasized that the government’s primary concern was to “maintain or secure industrial peace” and avoid further risk to the economy at a critical time.
The strike and subsequent government action capped nearly eight months of contentious contract negotiations between Air Canada and the Canadian Union of Public Employees (CUPE), which represents the airline’s flight attendants. At the heart of the dispute are issues of pay, inflation, and what the union describes as “poverty wages” and unpaid labor. Flight attendants are not compensated for the time they spend working before or after a plane is in the air—a longstanding industry practice that the union argues is both unfair and exploitative.
Air Canada, which operates around 700 flights per day, canceled at least 671 flights by Saturday afternoon, according to aviation analytics firm Cirium, and had already suspended another 96 scheduled for Sunday. The shutdown was impacting about 130,000 people daily, with ripple effects felt by travelers trying to connect to other destinations or return home from overseas.
As reported by The Guardian, the airline announced Sunday that flights would resume in the evening, but warned that it would take up to 7 to 10 days for operations to return to normal. Some flights would continue to be canceled or delayed as the schedule stabilized. Passengers whose flights were affected were offered full refunds or alternative travel options through other airlines, though Air Canada cautioned that rebooking could not be guaranteed due to the high demand of the summer travel peak.
The government’s rapid intervention drew sharp criticism from union leaders and labor advocates. Nathalie Garceau, a spokesperson for CUPE, told CBS News that demonstrations would continue nationwide despite the government’s order. “We have not planned on cancelling it,” she said in an email, signaling the union’s intent to keep up public pressure. Wesley Lesosky, also of CUPE, accused the government of giving “Air Canada exactly what they want – hours and hours of unpaid labour from underpaid flight attendants, while the company pulls in sky-high profits and extraordinary executive compensation.”
Union president and flight attendant Natasha Stea highlighted concerns over pay equity, noting that approximately 70% of Air Canada’s flight attendants are women. She questioned whether they were being treated fairly compared to pilots, who received a significant raise last year. “We are heartbroken for our passengers,” Stea told the Associated Press. “Nobody wants to see Canadians stranded or anxious about their travel plans, but we cannot work for free.”
The union’s frustration was further fueled by the government’s use of a rarely invoked section of the Canada Labour Code, which allows the minister to unilaterally end work stoppages in order to “maintain or secure industrial peace.” While previous governments used this power sparingly, the current Liberal government has relied on it several times over the past year, including during strikes at Canadian ports, the post office, and railway companies. This pattern has prompted analysts and labor leaders to warn that such interventions may be eroding workers’ rights and unions’ leverage during negotiations.
Air Canada’s latest offer to flight attendants included a 38% increase in total compensation over four years, including benefits and pensions. The airline also proposed paying attendants 50% of their wage for pre-flight work. However, the union rejected the proposal, arguing that the initial 8% raise in the first year did not keep pace with inflation and that all labor—including time spent preparing the cabin and assisting passengers before takeoff—should be fully compensated. The union’s stance reflects a broader push within the airline industry for fair pay and recognition of the full scope of flight attendants’ responsibilities.
For Air Canada, the disruption could hardly have come at a worse time. The airline is still recovering from the financial blows of the COVID-19 pandemic, and the busy summer season is critical for its bottom line. The Business Council of Canada and the Canadian Chamber of Commerce both supported the government’s intervention, arguing that a prolonged strike would have ripple effects across the travel sector and the wider economy. Meanwhile, the union representing Canada’s rail workers is suing over a similar government-imposed arbitration, claiming that such actions undermine collective bargaining and workers’ rights.
As for passengers, the sudden strike and its aftermath left many in limbo. Some waited in long lines at airports, hoping for updates, while others scrambled to book last-minute flights with other carriers—only to find that most were already full. The airline’s website and mobile app fielded a flood of refund requests, and customer service lines were jammed with anxious travelers seeking answers. For many, the experience was a harsh reminder of the fragility of modern air travel and the complex web of relationships that keep it running smoothly.
With the dispute now in the hands of the Canada Industrial Relations Board and an arbitrator, both sides remain far apart on key issues. Air Canada insists its offer would make its flight attendants the best compensated in the country, while the union maintains that only full recognition of their labor and fair pay will resolve the conflict. As negotiations move forward, the outcome will likely set a precedent not just for Air Canada’s workforce, but for labor relations in Canada’s broader transportation sector.
The coming days will be crucial for all involved—travelers, flight attendants, and the airline itself. While flights are slowly resuming and the immediate crisis appears to be easing, the underlying tensions remain unresolved, and the eyes of Canada’s traveling public are watching closely to see what happens next.
