Air Canada grounded as striking union defies order to get back to work

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Air Canada flight attendants remained on strike past the deadline in a government-backed labor board’s order to return to work. (Reuters)
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Air Canada flight attendants strike outside Montreal’s Trudeau International Airport in Montreal on Aug. 16, 2025. (The Canadian Press via AP)
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Updated 18 August 2025
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Air Canada grounded as striking union defies order to get back to work

  • The carrier had planned to start ramping up operations on Sunday evening after arbitration order
  • The union said no, setting up an almost unprecedented standoff with the Canadian government

MONTREAL: Air Canada’s fleet of hundreds of planes remained grounded on Monday morning after striking flight attendants refused a government-backed order to get back to work and called on the airline to return to the bargaining table.

The carrier, which normally carries 130,000 people daily and is part of the global Star Alliance of airlines, had planned to start ramping up operations on Sunday evening, after a labor relations board ordered the union to return to work and start binding arbitration.

The union said no, setting up an almost unprecedented standoff with the Canadian government, which had requested the back-to-work order.

The Canadian Union of Public Employees, which represents 10,000 Air Canada cabin crew, had pushed for a negotiated solution, saying binding arbitration would take pressure off the airline.

The attendants are striking for better wages and to be paid for work on the ground, such as boarding passengers. They currently are only paid when planes are moving, sparking some vocal support from Canadians on social media.

CUPE invited Air Canada back to the table to “negotiate a fair deal,” calling the order to end its strike unconstitutional. The airline said it would delay plans to restart operations from Sunday until Monday evening and described the union as illegally defying the labor board.

The government’s options to end the strike now include asking courts to enforce the order to return to work and seeking an expedited hearing. The minority government could also try to pass legislation that would need the support of political rivals and approval in both houses of parliament, which are on break until September 15.

“The government will be very reticent to be too heavy-handed because in Canada the Supreme Court has ruled that governments have to be very careful when they take away the right to strike, even for public sector workers that may be deemed essential,” said Dionne Pohler, professor of dispute resolution at Cornell University’s Industrial and Labor Relations School.

Another option is to encourage bargaining, Pohler said.

The government did not respond to requests for comment.

On Saturday, Prime Minister Mark Carney’s Liberal government moved to end the strike by asking the Canada Industrial Relations Board to order binding arbitration. The CIRB issued the order, which Air Canada had sought, and unionized flight attendants opposed.

The previous government, under former Prime Minister Justin Trudeau, intervened last year to head off rail and dock strikes that threatened to cripple the economy, but it is highly unusual for a union to defy a CIRB order.

The CUPE said its rejection was unprecedented when such an order was made according to rules, known as Section 107, that the government invoked in this case.

Travelers at Toronto Pearson International Airport over the weekend said they were confused and frustrated about when they would be able to fly.

Italian Francesca Tondini, 50, sitting at the Toronto airport, said she supported the union even though she had no idea when she would be able to return home.

“They are right,” she said with a smile, pointing at the striking attendants.

The dispute between cabin crews and Air Canada hinges on the way airlines compensate flight attendants. Most, including Air Canada, have traditionally paid them only when planes are in motion.

In their latest contract negotiations, flight attendants in both Canada and the United States have sought compensation for hours worked, including for tasks such as boarding passengers.

New labor agreements at American Airlines and Alaska Airlines legally require carriers to start the clock for paying flight attendants when passengers are boarding.

American’s flight attendants are now also compensated for some hours between flights. United Airlines’ cabin crews, who voted down a tentative contract deal last month, also want a similar provision.


Political stability at stake as Malaysia’s Najib awaits verdict in biggest 1MDB trial

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Political stability at stake as Malaysia’s Najib awaits verdict in biggest 1MDB trial

  • A Malaysian high court will decide on Friday whether to convict Najib of four more charges of corruption and 21 counts of money laundering involving the illegal transfer of about 2.2 billion ringgit ($539 million) from 1MDB

KUALA LUMPUR: Jailed former Malaysian Prime Minister Najib Razak will hear a verdict ​on Friday in the biggest trial he faces over the multibillion-dollar 1MDB scandal, a ruling that could risk deepening tensions within the administration of current premier Anwar Ibrahim.
Investigators have said about $4.5 billion was allegedly stolen from 1Malaysia Development Berhad, a state fund co-founded by Najib in 2009, and that more than $1 billion allegedly made its way into his personal bank accounts. Najib, 72, last year apologized for mishandling the scandal while in office but he has consistently denied wrongdoing, saying he was misled by 1MDB officials and a fugitive ‌financier, Jho Low, on ‌the source of the funds. In 2020, Najib was ‌convicted ⁠of ​graft and ‌money laundering for illegally receiving funds from a 1MDB unit and began a 12-year prison sentence two years later after losing all his appeals. That sentence was later halved by a pardons board chaired by Malaysia’s king, with Najib due for release in 2028.
A Malaysian high court will decide on Friday whether to convict Najib of four more charges of corruption and 21 counts of money laundering involving the illegal transfer of about 2.2 billion ringgit ($539 million) from 1MDB.
If ⁠found guilty, he could face maximum jail terms of between 15 and 20 years on each charge, as ‌well as a fine of up to five times the ‍value of the alleged misappropriations.
The implementation ‍of the penalties, however, could be stayed pending further appeals.

VERDICTS TEST GOVERNMENT STABILITY

The decision ‍will be closely watched after another court this week dismissed a bid by Najib to serve the remainder of his sentence under house arrest.
That ruling reignited tensions in Anwar’s ruling administration, which includes Najib’s party, the United Malays National Organization.
UMNO campaigned against Anwar in a 2022 election but joined his coalition ​to form a government after the poll ended in a hung parliament.
Several UMNO leaders expressed disappointment with the decision to deny Najib house arrest, ⁠saying it risked diluting the powers of Malaysia’s rulers, while others were angered by social media posts by some members of Anwar’s coalition celebrating the ruling.
Anwar this week called for all parties to handle news of the verdict with patience and wisdom, adding that it was “inappropriate to muddy the atmosphere or add tension” even if there were those who chose not to sympathize with Najib and his family. A guilty verdict for Najib on Friday could strain ties further, with some UMNO leaders already calling for the party to review its pact with Anwar or withdraw from the government altogether. An acquittal, however, may weaken Anwar, who has been under pressure to uphold his credentials as an anti-graft campaigner. Anwar has been accused by critics of ‌betraying progressive voters and allies after prosecutors dropped some corruption charges against Najib and other UMNO figures. The premier has repeatedly said he does not interfere in court cases.