< Reveal sidebar

Air Canada Pilots Approve New $1.9 Billion Contract

The new deal includes pay increases of nearly 42%.

An Air Canada Boeing 777-300ER departing London Heathrow (Photo: AirlineGeeks | William Derrickson)

Air Canada pilots voted in favor of a new collective bargaining agreement Thursday that includes several pay increases and quality-of-life improvements. Described as the airline’s largest-ever labor contract, the deal moves pilot compensation more in line with that of their U.S. peers.

The agreement, which was reached between Air Canada and the Air Line Pilots Association, International (ALPA), representing over 5,200 pilots, was ratified by 99% of the workforce. According to the union, 67% of Air Canada’s pilots voted in favor of the agreement.

Pilots are set to receive an average 26% retroactive pay increase to September 2023, followed by additional 4% raises each year through 2026. This adjustment aims to bring their compensation closer in line with what their counterparts earn at U.S. airlines, addressing long-standing concerns over wage disparity.

“This contract is the largest labour agreement in Air Canada’s history and reflects contributions that our pilots bring to the success of our airline. 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 First Officer Charlene Hudy, chair of the Air Canada ALPA Master Executive Council, in a news release. “We look forward to working under these improved pay rates and working conditions while continuing to connect our passengers to Canada, North America, and the world.”

According to The Globe and Mail, the contract is valued at approximately $1.9 billion.

“We are very pleased this new collective agreement has been approved by our pilot group. The agreement is mutually beneficial and it will keep our pilots the best compensated in Canada and provide the work-life balance improvements they were seeking. At the same time, the agreement gives our company flexibility and creates a framework for future growth of the airline and its network. We look forward to working with our pilots under this renewed partnership,” said Michael Rousseau, president and chief executive of Air Canada, in a news release from the airline.

In September, the airline and its pilots averted a potential strike, reaching the last-minute deal just hours before scaling down the carrier’s operations.

Ryan Ewing
Follow Ryan
Latest posts by Ryan Ewing (see all)

Author

  • Ryan Ewing

    Ryan founded AirlineGeeks.com back in February 2013 and has amassed considerable experience in the aviation sector. His work has been featured in several publications and news outlets, including CNN, WJLA, CNET, and Business Insider. During his time in the industry, he's worked in roles pertaining to airport/airline operations while holding a B.S. in Air Transportation Management from Arizona State University along with an MBA. Ryan has experience in several facets of the industry from behind the yoke of a Cessna 172 to interviewing airline industry executives. Ryan works for AirlineGeeks' owner FLYING Media, spearheading coverage in the commercial aviation space.

    View all posts

Subscribe to AirlineGeeks' Daily Check-In

Receive a daily dose of the airline industry's top stories along with market insights right in your inbox.

Related Stories
United Aviate aircraft

United Aviate Academy Sued by 29 Former Students

A group of over two dozen former students has filed a lawsuit against United Aviate Academy (UAA) and United Airlines,…

Which U.S. Airlines Are Hiring Pilots? [April 2025]

Airlines across the United States hired record numbers of pilots throughout 2022 and 2023. However, many carriers slowed or paused…

Horizon E175 aircraft

New Study Supports Beard Safety for Airline Pilots

A recent study has provided strong evidence that beards do not interfere with the effectiveness of oxygen masks for airline…