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Air Canada strike: Minister ‘very optimistic’ agreement can be reached

Click to play video: 'Air Canada bargaining parties should ‘knuckle down and get a deal’: MacKinnon'
Air Canada bargaining parties should ‘knuckle down and get a deal’: MacKinnon
WATCH: Air Canada bargaining parties should ‘knuckle down and get a deal': MacKinnon

The federal labour minister said Tuesday he’s still “very optimistic” a strike by Air Canada pilots can be averted through negotiations before it’s set to begin as soon as next week.

Steve MacKinnon told reporters outside the Liberal caucus retreat in Nanaimo, B.C., that some “significant issues” remain unresolved but that headway had been made in talks between Air Canada and the Air Line Pilots Association union, despite both sides suggesting that negotiations had effectively stalled over recent weeks.

“There is absolutely no reason these parties cannot come to a negotiated agreement,” the minister said.

“My position is that they should do the work necessary to relieve Canadians of the considerable uncertainty that this causes with respect to travel, with respect to economic issues, and to bear down, knuckle down and get a deal.”

Click to play video: 'How will Air Canada passengers be affected by a potential strike?'
How will Air Canada passengers be affected by a potential strike?

Air Canada said Monday that it is working on plans to start suspending operations ahead of a potential strike or lockout, which could start as soon as Sept. 18.

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Unless a settlement is reached by Sunday, Sept. 15, either the airline or the union could issue a 72-hour lockout or strike notice.

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Flight cancellations could start as early as Friday if an agreement isn’t reached by then, the airline said.

ALPA said Monday that negotiations “continue to progress slowly, if at all,” and announced plans to open strike headquarters in Toronto on Thursday in anticipation of a work stoppage.

Click to play video: 'Business Matters: Air Canada prepares for partial shutdown ahead of looming pilot strike'
Business Matters: Air Canada prepares for partial shutdown ahead of looming pilot strike

MacKinnon on Tuesday wouldn’t say if he intended to intervene in the dispute similar to his decision to request binding arbitration and return-to-work orders to resolve a rail shutdown late last month.

“Our commitment is to collective bargaining, and we want to make sure that these parties are very, very focused on getting a deal at the table,” the minister said.

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The government made similar comments leading up to the lockout notice issued by CN Rail and CPKC amid stalled negotiations with the rail workers’ union, only announcing it would intervene less than 24 hours after the lockout began.

Click to play video: 'Rail shutdown: Ottawa imposing binding arbitration on parties'
Rail shutdown: Ottawa imposing binding arbitration on parties

The rail shutdown ultimately lasted four days as the Canada Labour Relations Board considered and approved the government’s request. The Teamsters union is appealing Ottawa’s intervention.

Air Canada said a work stoppage could affect 110,000 passengers a day.

The Air Line Pilots Association has not set a strike date, but the pilots have voted overwhelmingly to approve a strike mandate if an agreement on a new contract cannot be reached.

— with files from Global’s Uday Rana

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