Why Air Canada Cancelled 550 Flights: What Boarding Pay Means and Why Crew Are Striking

Air Canada stock fell 3% on Monday (August 18) after more than 550 flights were cancelled amid a standoff between the airline and its flight attendants.

The dispute escalated after Air Canada’s labour contract with 10,000 flight attendants expired on March 31. With talks breaking down, attendants walked off the job at 1 am on Saturday (August 16).

Within hours, the Canadian government directed the Canada Industrial Relations Board (CIRB) to impose binding arbitration. On Sunday, the CIRB ordered flight attendants back to work.

However, the Canadian Union of Public Employees (CUPE), which represents the attendants, defied the directive, forcing Air Canada to halt plans to resume flights. Operations remained suspended on Monday as well.

The core issue
The main point of contention is “boarding pay.” Like most global carriers, Air Canada compensates attendants only for the time after aircraft doors close, not for boarding duties—when staff assist passengers, check equipment, conduct safety demonstrations, and prepare the cabin.

While attendants remain firm on this demand, Air Canada has condemned the strike as illegal. CUPE National President Mark Hancock declared, “Our members are not going back to work,” as employees chanted, “Don’t blame me. Blame AC.”

In an advisory, Air Canada told passengers: “All Air Canada and Air Canada Rouge flights are canceled due to CUPE’s actions. Please do not head to the airport, as flights are not operating.” Customers scheduled to travel through August 22 were offered free rebooking for dates between August 23 and September 30.

The U.S.-based Association of Flight Attendants (AFA) voiced solidarity, criticizing Air Canada for paying “a poverty wage for the work of aviation’s first responders.” AFA President Sara Nelson said, “It’s time for a fair deal, including the new industry standard of boarding pay.”

The strike has quickly spiraled into a national crisis. Canadian Prime Minister Mark Carney expressed disappointment at the impasse, stressing the crucial role of flight attendants: “We are in a situation where literally hundreds of thousands of Canadians and visitors to our country are being disrupted by this action.”

Notably, only a handful of U.S. carriers compensate boarding time. Delta Air Lines became the first major airline to do so in 2022, offering attendants 50% of their hourly rate to preempt unionization.