Air Canada Pilots React to Q1 Results as Contract Talks Continue
Air Canada pilots, represented by the Air Line Pilots Association, Int’l (ALPA), have responded to Air Canada’s Q1 financial results.
On 01MAY, Air Canada reported a loss of CAD $81 million in its first quarter, even though operating revenue was up 7% from a year ago.
The airline reported operating revenue of $5.23 billion for the quarter, up from $4.89 billion in the first quarter of 2023. However, operating expenses rose six percent to $5.215 billion for quarter one, partly due to higher expenses from expanded seat capacity.
Air Canada cited labour as one cost that was hurting its bottom line. But its pilots' union has a different take on Air Canada's finances.
“Each passing quarter marks another set of financial gains, including generating over $1 billion in free cash flow in the latest quarter and improved operating performance, thanks in large part to contributions and dedication from the Air Canada pilots, whose post-9/11 pay cuts have yet to be corrected. Currently, Air Canada pilots are the only legacy pilot group in North America who haven’t re-established standard North American pay levels,” said F/O Charlene Hudy, Air Canada ALPA Master Executive Council chair.
“Air Canada pilots make on average half of what their peers make in the United States, a condition that fails to improve the pilot-supply challenges and which misses an opportunity to attract and retain experienced pilots to Air Canada’s ranks. This is wholly incongruent with Air Canada’s long-term growth strategy,” she continued.
Air Canada pilots have been in contract negotiations with Air Canada for over 11 months.
According to ALPA, pilots are looking for a contract that is commensurate with pilots at U.S. airlines.
"Air Canada pilots fly the same planes, on the same routes, in the same weather (or worse), while carrying the same passengers. An inferior contract with half pay is simply not sustainable. Air Canada pilots should not be the only legacy pilot group in North America subject to special reduced compensation, especially while Air Canada’s executives rank amongst the highest-paid in North America, benchmarking their own compensation packages to their U.S. counterparts, notably omitting WestJet," ALPA said in a press release.
"Airlines that provided their pilot groups with competitive contracts in the past year, including United, Delta, Southwest, and American, have solved their pilot-supply challenges, boosted network capacity, announced new routes, ordered new planes, and are among the best-performing on-time airlines in the world.
“Air Canada pilots are unified in their call for a contract that reflects today’s world and will do what is necessary to achieve it,” said Hudy.
“Currently, about 500 Air Canada pilots are working with U.S. immigration firms to leave Air Canada, should we not achieve a contract commensurate with other comparable pilot groups. The formula for success and passenger satisfaction is not a mystery. Canadians deserve no less than a reliable and sustainable aviation network with experienced pilots in the flight deck.”
