HomeBusiness & FinanceFeds order binding arbitration in WestJet and mechanic union dispute to forestall further flight cancellation

Feds order binding arbitration in WestJet and mechanic union dispute to forestall further flight cancellation

Feds order binding arbitration in WestJet and mechanic union dispute to forestall further flight cancellation

The federal government ordered binding arbitration in the labour dispute between WestJet and the Aircraft Mechanics Fraternal Association (AMFA) on Thursday, in order to help avert a Canada Day walkout by mechanics that could wreak havoc on hundreds of thousands of travel plans.

 

Federal Labour Minister Seamus O’Regan issued a statement Thursday afternoon, saying efforts to reach a deal using the Canada Industrial Relations Board (CIRB) that he initiated June 18 have stalled.

 

“The parties still remain far apart today, and tensions have only increased since last Tuesday,” he said in a statement.

 

“As minister of labour,” he said, continuing, “I am using my authorities under the Canada Labour Code to further the goals of last week’s Section 80 referral to help the parties reach their first collective agreement. I have directed the CIRB to impose final binding arbitration to resolve outstanding terms of the collective agreement.”

 

CTV News obtained a memo sent out by the aircraft mechanics union, responding to the minister’s imposition of binding arbitration.

“AMFA legal counsel and FMCS representatives advise that there is no modern precedent for the minister’s actions,” it said. “AMFA will comply with the minister’s order and directs its members to refrain from any unlawful job action.”

 

When asked for further comment, an AMFA spokesperson said they would have no further information until Friday.

 

Late Thursday afternoon, WestJet issued a statement confirming that it would cut a deal with AMFA.

 

“Given this, a strike or lockout will not occur,” the airline said in a statement, “and the airline will no longer proceed in cancelling flights.”

 

“With the government’s action, the summer travel plans of Canadians have been protected and we have a path to resolution,” said WestJet president and group chief operating officer Diederik Pen.

 

“We recognize the significant impact the initial cancellations continue to have on our guests and our people, and we sincerely appreciate their patience and understanding as we resume operations.”
Last-minute effort

 

The move by O’Regan was a last-minute effort to avoid a potential strike by WestJet airplane mechanics that the airline’s CEO said would upend travel plans for 250,000 customers over the Canada Day long weekend, and cost it millions of dollars.

The Calgary-based carrier has already begun to cancel flights, calling off roughly 25 trips on Thursday and Friday in anticipation of possible job action by the AMFA, which has threatened to hit the picket lines as early as 5:30 p.m. MDT on Friday.

 

Already affecting some 3,300 customers, WestJet’s decision to start concentrating its 180-plane fleet seeks to avoid leaving planes in far-flung locations and stranding passengers and crew.

 

As negotiations toward the union’s first collective agreement drag on in a windowless conference room at a hotel near Toronto’s Pearson airport, the tone of statements put out by the two sides late Wednesday and early Thursday grew increasingly aggressive.

 

The mechanics union, which represents about 680 workers — the majority are aircraft maintenance engineers (AMEs) who inspect each active plane daily — has accused WestJet of “brinksmanship” and “false accusations.”

 

It said Wednesday the airline has asked the government to quash its strike notice without notifying its negotiators.

 

“In its own submission of today, WestJet alleges that an AME strike would place the ‘company and the travelling public in peril at a critical time,'” the union negotiating committee said in a release Wednesday.

 

“It is difficult to conceive of a more inflammatory or offensive comment.”
‘Catastrophic’

 

WestJet deemed the impact of a potential strike “catastrophic.”

 

“As we quickly approach the July long weekend, it is especially devastating that the strike notice we have received from AMFA forces us to begin cancelling flights and parking aircraft, for the second time in just over a week,” said WestJet Airlines president Diederik Pen in a release.

 

He called the decision to trigger flight cancellations a “painful” one, noting the fallout for customers.

 

Plane mechanics first served the carrier with a 72-hour strike notice on June 17, prompting WestJet to cancel nearly 50 flights last week before both sides agreed to resume negotiations. The second strike notice came Tuesday.

 

Union members voted overwhelmingly to reject a tentative deal earlier this month and have opposed WestJet’s request for intervention by the country’s labour tribunal.

 

The Canada Industrial Relations Board (CIRB) has said it needs more time and submissions from each party before deciding whether to create a collective agreement via binding arbitration, as proposed by WestJet last week.

‘It’s a little stressful’

For travellers at Calgary International Airport, the uncertainty surrounding the situation created even more stress than a trip to the airport already generates for many people.

 

Claude Slade just finished a three-week work rotation in Victoria and said his travels back to Newfoundland have been delayed, impacting some family plans.

 

“It’s my wife’s 50th birthday today,” Slade said. “We’re going to lose another day on our turnaround because of the situation.”

 

“We’re going to play Canada Cup and a couple of our teammates got their flight cancelled on the way out,” said Adyson Switzer of Calgary.

 

The Canada Cup International Softball Championships are set to take place in Surrey, B.C., from June 28 to July 7 but Switzer said a pitcher from her U-17 team couldn’t get a different flight in time so she had to drive.

 

“Otherwise, they’re not going to be there in time and have enough girls to play,” Switzer said.

 

“It’s a little stressful.”

 

Many other travellers experienced delays, and flight changes, impacting their connecting flights.

 

“I’ve already arranged all my time off from work, so every day that passes is a waste of vacation, basically,” said Fred Manaloto from Lethbridge, adding he is now booked to fly to the Philippines two days later than planned.

 

Fiona McCarney and her husband Damien, travelling from Ireland, said two of their WestJet flights in the past week changed due to maintenance.

 

“Our flight was probably around 25 minutes in the air and we were told we were returning to Vancouver due to maintenance issues.”

 

As a result they missed their flight to Dublin, and have to wait in Calgary two days for a new flight.

 

“We’re due, fingers crossed, back in Dublin tonight and hopefully WestJet don’t let us down this time.”

 

“They did give us a warning that there could be disruption due to the mechanics going on strike, so it’s leaving us really nervous.”

 

 

 

 

With files from The Canadian Press

This article is first reported by CTV News