Check this out Clive:
Air Canada reaches deals with six unions
CTV.ca News Staff
Air Canada has reached tentative agreements with six of its nine unions -- a development crucial for the company's new restructuring plan.
The five key unions involved include the union representing Air Canadian pilots, two unions at the airline's regional carrier, Jazz, the International Association of Machinists and Aerospace Workers, and the Canadian Airline Dispatchers Association.
The airline and its unions have been holding marathon talks since Saturday. Deals with three unions were finalized around 3 a.m. ET Sunday, with a fourth union signing on at about 4 a.m. ET.
A fifth and sixth union signed agreements late Sunday morning. Details of the deals are being kept confidential until members have an opportunity to review them.
Talks continue with three other unions -- the CAW at Jazz and Air Canada and CUPE.
Air Canada spokesman John Reber says flights will continue as usual Sunday, regardless of the progress of the talks.
"It's definitely business as usual, as it has been throughout the whole restructuring process,'' he says.
The deals are crucial to the airline's future. Two of Air Canada's major financers have threatened to withdraw funds unless the airline finds ways to trim about $200 million in annual costs.
Germany's Deutsche Bank agreed back in April to underwrite an Air Canada share offering worth $850 million, contingent on the outcome of these talks. GE Capital Aviation Services has also offered restructuring financing worth $1.5 billion US.
On Friday, the airline reached an agreement with the Office of the Superintendent of Financial Institutions on terms for paying off its pension fund deficit. Under that agreement, Air Canada will pay down its $1.2 billion pension deficit over 10 years, rather than over the previously-allowed maximum five years.
Air Canada has been under extended bankruptcy protection through the Companies Creditors Arrangement Act since April 1, 2003. The Montreal-based airline employs about 33,000 full-time staff.
IMHO, although I also was expecting the demise of AC sometime during this year, there is no reason why they should be doomed, although business cannot continue as it has in the past. Other large international carriers (ie. Lufthansa) manage to do good business and enjoy the support and pride of the locals. Despite AC's negative image in Canada, I think there would be a real sense of loss years after the company were to disappear, particularly in terms of global operations.
Changing the subject, although I feel WestJet runs a #1 operation, I have always been disturbed by the "Schadenfreude culture" that has in many ways been encouraged by Mr. Beddoe. I can understand part of where he comes from-- this is a page out of the book from Herb Kelleher who fired up his employees by showing the threats posed by "the big bad wolves." It worked, of course, both for Southwest and WestJet.
However, I believe in the end we as professionals should concentrate on delivering our passengers and cargo to their destination, in a safe, comfortable and efficient manner and leave the "competition" to the marketing department. Most Canadian airline pilots had little choice in where they ended up-- I think most applied at Air Canada at one point or another, and many applied at all the companies and took whichever offer came first.
-President Ronald Reagan
I don't like Air Canada at all. But if this is enough to wake them up and make them better, than so much the better. I hate to see Westjet, Jetsgo and Canjet having free rein in Canada. That would be disastrous!!...events certainly are promising and I hope will become a factor in unifying all groups to turn around the events at Air Canada....
Ditto.although I also was expecting the demise of AC sometime during this year...
This is their last chance. period...there is no reason why they should be doomed
Yup. Where I come from it's call fanatism. This type of conditioning or brain-washing leads to a very narrow view of the world and an exagerated belief in one's sense of truth.I have always been disturbed by the "Schadenfreude culture" that has in many ways been encouraged by Mr. Beddoe.
Have you notice that Westjet employee are becoming very arrogant (about their company) You can't say anything negative or bad about Wetsjet. They are totaly under a "spell"....freaky!!
Reminds me of a place in Europe, 70 years ago...
The Walmart mentality?who fired up his employees by showing the threats posed by "the big bad wolves." It worked, of course, both for Southwest and WestJet.
Westjet is no Southwest. They used the same model to get started but have stray away. Westjet goal is to "bump" Air Canada into oblivion and to take it's place. That's very, very bad news.
*Pilots and F/A would be at the mercy of whatever pay scale Wj decided
*WJ will be free to charge whatever they want for fares (no competition)
*Passengers would have to pay again for food, drinks, headset, tv etc.. they don't now because no one else is charging
*Economy fare for everyone, that you like it or not (Aeroflot??)
And the list goes on and on..