Air Canada operates a diversified fleet that includes Boeing 777s (pictured) and 767-300 converted freighters. (Photo: Air Canada)
Air Canada and the union representing more than 5,200 pilots announced Saturday night they have reached a tentative agreement on a four-year contract, averting a threatened strike that could have started within days.
The preliminary deal must still be ratified by members of the Air Line Pilots Association. Air Canada (TSX: AC) said contract terms will remain confidential until the ratification vote, which is expected to take place within a month, and approval of the Air Canada board of directors. Ratification requires approval by a majority of the voting membership.
ALPA said the tentative agreement will deliver an additional $1.9 billion of value for pilots over the length of the contract.
“After several consecutive weeks of intense round-the-clock negotiations, progress was made on several key issues including compensation, retirement, and work rules. This agreement, if ratified by the pilot group, would officially put an end to our outdated and stale decade-old, ten-year framework,” said Charlene Hudy, chair of the Air Canada Master Executive Council who works as a first officer at Air Canada.
