Air Canada Locks In Labor Peace With Unifor for 6,000 Staff

Air Canada said Friday that a new four-year collective bargaining agreement with Unifor has been ratified, covering roughly 6,000 customer service employees. The deal runs through February 2030.

This is the third labor contract Air Canada has sealed this year. Earlier ratifications covered Flight Operations Crew Schedulers and In-Flight Crew Schedulers. The airline now has labor peace across three employee groups, reducing the risk of work stoppages in a tight capacity environment.

Financial terms of the Unifor deal were not disclosed. Without wage details, investors cannot yet calculate the exact cost impact. What is clear is a pattern: the airline is locking in multiyear agreements after a period of post-pandemic labor tension. That removes a layer of operational uncertainty.

The readthrough for the broader industry is limited but real. WestJet and other Canadian carriers face similar union negotiations in the coming months. If Air Canada's settlement serves as a template, it could set a floor for wage gains across the sector. Each contract, however, is negotiated separately, and the competitive dynamics differ by carrier.

Air Canada shares trade on the TSX under AC and on the OTCQX under ACDVF. The next quarterly report will offer the first concrete look at how these labor costs feed through the income statement.