Air Canada’s pilots have approved a collective agreement that provides raises of 42 per cent over four years.
The union that represents the 5,200 pilots, the Air Line Pilots Association, said on Thursday the contract was approved by a margin of 67 per cent.
The pilots will receive a 26-per-cent raise retroactive to September, 2023, when the previous contact expired, and then 4-per-cent raises in 2024, 2025 and 2026.
The contract – the first that Air Canada’s pilots negotiated under ALPA – follows a 10-year agreement with annual raises of 2 per cent.
Represented by a new union, the pilots pushed to narrow the pay gap with their U.S. counterparts, and win better scheduling provisions.
“This agreement helps restore what Air Canada pilots have lost over the past two decades and creates a strong foundation from which to build on,” said Charlene Hudy, chair of the Air Canada union.
Michael Rousseau, chief executive officer of Air Canada AC-T, said in a press release the agreement is mutually beneficial, providing the highest pilot pay in the country while offering the desired work-life balances.
Pilot salaries in the second year of the agreement range from about $75,000 to $360,000, depending on seniority and aircraft.
Pilots at WestJet last year approved a four-year contract with a 24-per-cent raise. Crews at U.S. carriers Delta Air Lines and United Airlines voted for contracts with raises of 34 per cent and as much as 40 per cent, respectively.
Investors reacted to the ratification vote by driving up Air Canada’s share price by 4 per cent on the Toronto Stock Exchange. The stock price has fallen by 7 per cent this year.
More to come.
