Air Canada Cancels Flights Ahead of Potential Unifor Strike

Air Canada has initiated preemptive flight cancellations in anticipation of a potential labor disruption involving its customer service agents. The current collective agreement, covering nearly 6,000 employees, is set to expire on February 28, 2026, prompting the airline to reduce its flight schedule to mitigate potential operational chaos. This move is a key development in the ongoing Unifor Air Canada negotiations and could signal a significant airline labor dispute in Canada.

The airline confirmed a schedule reduction of 5-10% for the first week of March. Based on an average of 959 daily mainline flights, this could affect between 48 and 96 flights per day. The impact is expected to be concentrated at Air Canada's primary hubs, including Toronto Pearson International Airport (YYZ) and Vancouver International Airport (YVR). Preemptively thinning schedules is a standard industry practice designed to prevent passengers and crew from being stranded if a strike materializes, a tactic the airline also employed during a flight attendant dispute in 2025.

Union Negotiations and Key Demands

The customer service agents, who handle airport check-in, gate assignments, and call center inquiries, are represented by Unifor Local 2002. According to a Unifor press release, formal bargaining began in late January. The union has highlighted several key areas of focus for the negotiations, including improved wages, predictable scheduling, and safer working conditions to address understaffing.

Lana Payne, Unifor National President, stated, "Air Canada's customer service agents are the backbone of the passenger experience. They manage delays, disruptions, and customer care under immense pressure, yet too often without the staffing and protections that reflect the value of their work." Tammy Moore, President of Unifor Local 2002, added that members "deserve improved wages, predictable schedules, and working conditions that allow them to do their jobs properly."

Regulatory Framework and Passenger Rights

Labor relations for federally regulated industries like airlines are governed by the Canada Labour Code. This legislation outlines the mandatory processes for collective bargaining, mediation, and the conditions under which a legal strike or lockout can occur.

For travelers, the primary regulation is the Air Passenger Protection Regulations (APPR), overseen by the Canadian Transportation Agency. Under the APPR, a strike by an airline's own staff is considered a disruption outside the carrier's control. This classification exempts the airline from providing mandatory lump-sum cash compensation for delays or cancellations. However, the airline is still obligated to provide passengers with alternative travel arrangements on its own network or with another carrier, or offer a full refund.

In the event of a prolonged and economically damaging strike, the federal government has the authority to intervene. The Minister of Labour can refer the dispute to the Canada Industrial Relations Board (CIRB), which can impose binding arbitration to force a resolution and order employees back to work. This mechanism was used to end a strike by Air Canada flight attendants in 2025.

Historical Context and Economic Impact

The potential for significant disruption is underscored by previous labor disputes. A one-day strike in August 2025 by Air Canada flight attendants, represented by the Canadian Union of Public Employees (CUPE), was estimated to have affected over 500,000 passengers. The airline stated at the time that such a work stoppage cost the company over $61 million per day.

A strike by customer service agents could have a similarly broad impact, affecting not just passenger travel but also cargo operations and the national tourism sector. Disruptions at major hubs create cascading delays across the entire aviation network, impacting airport revenues and supply chains that rely on air freight.

What Comes Next

With the February 28, 2026, contract deadline approaching, both Air Canada and Unifor are expected to continue negotiations. If a deal is not reached, the union would be required to provide a formal strike notice before any job action could legally begin. The airline will likely continue to adjust its schedule based on the progress of the talks.

Passengers with travel booked for early March are advised to monitor their flight status directly with Air Canada. The federal government, particularly the Minister of Labour, will be closely watching the negotiations due to the potential for significant national economic disruption.

Why This Matters

This labor dispute at Canada's largest airline highlights the persistent tension between operational cost pressures and workforce demands in the post-pandemic era. The outcome will not only determine working conditions for thousands of employees but also serve as a barometer for labor relations across the Canadian aviation industry. For passengers, it is a stark reminder of how vulnerable travel plans are to factors beyond their control and reinforces the importance of understanding passenger rights under the APPR.

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