Dozens of business associations across Canada have signed a letter urging the Liberal government to prevent an Air Canada pilot strike by sending the labour dispute to binding arbitration.
letter The advisory, signed by the Canadian Chamber of Commerce, the Canadian Retail Association, the Canadian Food Producers Association and the Canadian Toy Association, among others, warned that a strike would have a “devastating impact” on the economy.
“The federal government must be prepared to act proactively to prevent further harmful disruptions by referring the matter to binding arbitration where a neutral arbitrator can resolve any outstanding issues,” the letter states.
The letter said the threat of a pilots’ strike, coming so soon after labour disputes at Canadian National Railway (CN) and Canadian Pacific Kansas City Railway (CPKC), will damage Canada’s reputation.
“If Canadian companies are unable to get our goods to market in time, our international partners will begin to seek permanent alternatives,” the industry group said Wednesday.
Air Canada said in a statement earlier this week that it was finalizing plans to suspend most of its operations as talks remain unresolved between the airline and the Air Line Pilots Association (ALPA), which represents more than 5,200 pilots.
The company said starting Sept. 15, ALPA could issue a 72-hour strike notice or the airline could announce a 72-hour lockout, triggering a downsizing plan that would affect 110,000 passengers each day.
“There is still time to reach an agreement if ALPA relaxes its wage demands,” Air Canada president and CEO Michael Rousseau said in a statement.
Poirievre supports pilots in dispute
The industry groups say the Air Canada labour dispute will disrupt “the import and export of critical and time-sensitive goods, such as vaccines and medical supplies, agricultural and perishable products, and parts and machinery for Canadian small and medium-sized manufacturers.”
“Radioisotopes critical to cancer treatments are shipped domestically and internationally via Air Canada Cargo due to their 48-hour lifespan. Any interruption to this service, even for a short period of time, would be devastating as other modes of transportation are unable to meet the stringent time requirements of these products,” the letter said.
Labour Minister Stephen McKinnon last month referred the rail labour dispute to the Canada Labour Relations Board (CIRB) for binding arbitration.
Asked at the Liberal caucus in Nanaimo, B.C., whether he would take the dispute to arbitration, MacKinnon said he was “not going to get into hypotheticals” and was “fully committed to the negotiating process.”
“This negotiating process has made great progress in resolving issues,” he said, adding that while key issues remain unresolved, he saw “forward momentum” in the talks.
“There is no reason why these parties cannot reach a collective bargaining agreement. I urge them to do everything in their power to get the deal done,” he said.
MacKinnon’s decision to halt rail service drew criticism from NDP Leader Jagmeet Singh, who accused the federal government of undermining workers.
“The Liberal party’s actions are cowardly and anti-worker and proof that they will always succumb to corporate greed and Canadians will pay the price,” he said in a media statement.
In Ottawa, Conservative Leader Pierre Poirierbvre said Wednesday he did not support sending contract talks with Air Canada to binding arbitration and called on the airline to negotiate in good faith.
“American pilots make much more and pay much less tax. Air Canada pilots are just trying to regain ground they lost as a result of government-induced inflation,” he said.
“We do not support preempting those negotiations. We support pilots and their right to fight for a fair deal.”
