Air Canada has apologized and said it is following up with two passengers after they were booted from an August 26 flight.
25.08.2023 - 14:00 / skift.com / Delta Air Lines / Air Canada
Air Canada pilots are pressing for higher pay in the run-up to fresh contract talks, following recent gains secured by pilots at U.S. carrier Delta Air Lines, union representatives told Reuters.
A contract between Delta and its pilots that came into effect on Thursday delivers a 34% pay increase over four years, driving pressure on other U.S. carriers to reach similar deals.
It is also galvanizing pilots at Canada’s largest carrier. Delta’s latest hourly pay rates are up to 45% higher than current Air Canada hourly pay rates, the Air Canada Pilots Association (ACPA) said by email.
Air Canada pilots have received a 2% wage increase per year, since 2014, said ACPA, which represents about 4,500 pilots. They could potentially begin salary talks as early as this year, or in 2024, the union said.
“Pilots in the U.S. have recently secured significant wage increases and other contractual improvements, creating an embarrassing gap with Canada,” Charlene Hudy, a top ACPA union leader, said in a statement.
The talks come as North American carriers are collectively recruiting thousands of pilots to meet a rebound in travel demand following a pandemic-induced slump. Air Canada did not respond to a request for comment.
ACPA is in talks to possibly join the Air Line Pilots Association (ALPA), the world’s largest pilots’ union, representing more than 60,000 pilots.
ALPA Canada President Tim Perry said many U.S. carriers recognize the importance of crew to their business model “by providing improved wages and working conditions for their pilots, in most cases far surpassing those of their Canadian counterparts.”
Pilots north of the border are now trying to make gains. Canada’s Sunwing Airlines pilots secured a 23% wage hike early this year and another 2.5% raise next January as part of their existing four-year agreement, union Unifor said.
Some airline executives are concerned that hefty pilot pay raises will inflate fixed costs and make it tougher to repair debt-laden balance sheets. Delta has forecast a hit on its earnings in the first quarter as the pilot deal is estimated to drive up operating costs.
Air Canada, which expects to return to 2019 levels of capacity next year, is also facing cost pressures.
Salary is also a priority for pilots in negotiations at Canada’s second-largest carrier, WestJet.
U.S. carriers American Airlines Group and United Airlines are also negotiating with their pilots.
Air Canada has apologized and said it is following up with two passengers after they were booted from an August 26 flight.
Air Canada is expanding its international flying schedule for the summer of 2024, especially to destinations across Europe, including a new year-round route between Montreal and Madrid.
The number of Canadian pilots seeking to fly in the United States tripled in 2022, according to previously unreported U.S. government data, raising fears of deepening shortages in Canada as pilots seek higher wages.
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Airbnb was the top-spending travel brand on U.S. national TV during the first 11 months of 2022 at an estimated $86.5 million, but it was merely the ninth most-seen among travel websites, hotels and motels, resorts and theme parks, cruise lines and airlines.
Delta Air Lines has offered a 34% cumulative pay increase to its pilots over three years in a new contract, demonstrating the bargaining power aviators are enjoying in a short-staffed industry with booming travel demand.
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