Economic Impacts of Airline Labour Disruption

The Honourable Patty Hajdu, P.C., M.P.
Minister of Jobs and Families and Minister responsible for the Federal Economic Development Agency for Northern Ontario
Place du Portage Phase II
165 de l’Hôtel-de-Ville Street
Gatineau, Québec J8X 3X2

The Honourable John Zerucelli, M.P.
Secretary of State (Labour)
Place du Portage Phase II
165 de l’Hôtel-de-Ville Street
Gatineau, Québec J8X 3X2

RE: Economic Impacts of Airline Labour Disruption

Dear Minister and Secretary of State,

On behalf of the Greater Vancouver Board of Trade, I am writing to express concern about the potential for a significant labour disruption at Air Canada as negotiations with the Canadian Union of Public Employees (CUPE) representing flight attendants have reached a critical stage and a strike notice has been issued.

Due to Canada’s extensive geography and dispersed population, reliable air transportation is a cornerstone of Canada’s economy. Each day, more than 130,000 passengers rely on Air Canada for essential travel — from critical business meetings and medical appointments to tourism and family visits. Further, almost half of Canadian pharmaceuticals that are shipped by air travel on Air Canada. Air cargo carried by these flights is equally important, supporting time-sensitive and high-value trade flows that connect Canadian businesses to global markets.

Any prolonged disruption, especially during peak summer travel, would have cascading impacts. The tourism industry — supporting roughly one in ten jobs nationwide — would see immediate losses. This would come at an already challenging time for this sector, as in July 2025, the preliminary number of international arrivals to Canada (returning Canadian residents and non-residents combined) by air and automobile was 6.3 million, down 15.6% from July 2024.

Exporters and supply chains would face delays and higher costs, weakening Canada’s competitiveness at a time when we are already facing heightened trade uncertainty with the United States. We simply cannot afford further economic disruptions at this critical time.

Economic resilience depends on keeping people and goods moving. We recognize the importance of collective bargaining and encourage all parties to reach an agreement at the table. However, if a resolution proves impossible, we urge the federal government to act swiftly to prevent a nationwide disruption with serious economic consequences.

During this time of great economic uncertainty, Canada’s businesses, workers, and communities cannot afford the compounded impacts of interrupted air service. Protecting our connectivity and economic stability must remain a top priority.

Sincerely,

Bridgitte Anderson
President and Chief Executive Officer
Greater Vancouver Board of Trade

CC:

The Honourable Chrystia Freeland, P.C., M.P.
Minister of Transport

The Honourable Mélanie Joly, P.C., M.P.
Minister of Industry and Minister responsible for Canada Economic Development for Quebec Regions

The Honourable Rechie Valdez, M.P.
Minister of Women and Gender Equality and Secretary of State (Small Business and Tourism)