“These amendments, voted and ratified by our pilots, underscore our pilots` focus on Air Canada`s successful business strategy to compete effectively in the highly competitive aviation industry and make reciprocal adjustments as the competitive environment develops,” said Benjamin Smith, President, Passenger Airlines at Air Canada. “Its success also highlights the transformational culture change underway at Air Canada, which makes the airline the world champion.” The union has developed an internal mechanism to share up to US$38 million among pilots, which can be earned annually on the basis of the current payroll of US$475 million. The carrier successfully amended the collective agreement with its pilots, which is represented by the Air Canada Pilots Association (ACPA) to make contractual changes to allow it to operate special cargo aircraft competitively in the cargo market, which have now been ratified by Air Canada pilots. The pilots` union said its 3,000 members voted for the deal at 84 percent, 92 percent of the members voted. Blandford said the pilots hoped other unions would also try to secure agreements that would allow the company to grow and be profitable. “If it suits their members, I see no reason why they should not follow that path,” he said. The changes made in October 2014 to the current 10-year agreement provide additional economic and operational flexibility, as well as improved cost competitiveness, while providing attractive career opportunities and other benefits for pilots. MONTREAL, September 12, 2017 /CNW Telbec/ – Air Canada today successfully made changes to its existing long-term employment contract with its 3,500 pilots represented by the Air Canada Pilots Association (ACPA). The changes to the 10-year agreement in October 2014 provide additional economic and operational flexibility, as well as improved cost competitiveness, while providing attractive career opportunities and other benefits for pilots.
The amendments also include a number of improvements for Air Canada pilots, including the terms of defined contribution plans and sick leave, as well as greater portability between Air Canada and Rouge. The deal includes a $10,000 signing bonus, two percent annual salary increases, higher severance pay, improved retirement benefits and better profit sharing, Blandford said in an interview. “These changes recognize the valuable contribution of our pilots and provide greater cost flexibility and competitiveness, further strengthening Air Canada`s ability to compete effectively in today`s global competitive environment,” said Benjamin Smith, President of Passenger Airlines at Air Canada. “I thank our respective teams for their discoveries and productive discussions that allow us to win as One Air Canada.” If the objectives are not met, pilots will regain their full rights under the Canadian Labour Code, including the right to strike. These amendments are the result of the periodic re-opening provisions adopted when the 10-year contract was concluded in October 2014. Due to the long-term nature of the historic 10-year agreement, these mandatory re-openings allow for adjustments to ensure that the agreement remains effective in supporting Air Canada`s strategic plan for profitable growth. It also means that a limited number of adaptations can be made to take advantage of market opportunities that may arise in the highly competitive aviation sector. In addition to a signing bonus and general annual salary increases, drivers will receive two percent cash bonuses in 2016 and 2017. The agreement also introduces a maternity allowance, which applies to the burden of EI benefits. Air Canada has 174 pilots. The changes support Air Canada`s strategic business plan for a profitable growth network, both for