As Air Canada suspends all operations due to a flight attendants' strike that started over the weekend, the federal government is stepping in to help both sides negotiate. The strike followed a 72-hour notice after contract negotiations stalled, with attendants voicing concerns over wages and unpaid labor. The airline began to cancel and delay flights almost immediately, predicting a significant impact on approximately 100,000 travelers.

The Canadian Union of Public Employees (CUPE), representing around 10,000 flight attendants, claims that after months of negotiations, the airline's pay offer is insufficient, citing it fails to meet inflation rates. While Air Canada proposed a substantial pay increase over the next four years, CUPE argued that this compensatory package would essentially amount to a pay cut due to rising living costs.

In reaction to this labor dispute, the Canadian government has invoked its powers to mandate binding arbitration—essentially assigning an independent party to facilitate negotiations—citing the urgency to protect citizens and maintain industrial peace. This move was met with criticism from CUPE, which accused the government of infringement on union rights and insisted on the need for open negotiations without interference.

The outcome and duration of the strike remain uncertain as both parties navigate this complicated situation. Historical context shows that previous strikes at Air Canada have led to long interruptions, straining travelers and costing the company millions. As for affected passengers, Air Canada advises those with canceled flights to not head to the airport unless booked with alternative carriers and has committed to issuing refunds for unused travel tickets.