Canada’s jobs minister, Patty Hajdu, has asked Air Canada's flight attendant union to consider binding arbitration, a request the airliner submitted under Section 107 of the Canada Labour Code. Hajdu announced this in a letter posted on X Thursday morning.

“I have asked the union to respond to the employer’s request,” she confirmed.

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A potential strike could start August 16 at 12:01 a.m. ET, with hundreds of flight cancellations slated for this week should negotiations remain stalled.

In 2011, a potential strike by Air Canada flight attendants was averted when the government intervened with back-to-work legislation.

Minister Hajdu expressed disappointment after flights were cancelled across the board, ahead of a potential lockout and strike Saturday. 

Negotiations between Air Canada and the union, ongoing since December, resumed following a 99.7% strike mandate vote on August 5. No deal has been accepted to date by members.

The airliner subsequently announced "several dozen" flight cancellations Thursday, mainly long-haul international, with 500 total by Friday impacting over 100,000 customers for a "safe and orderly wind down."

Its mainline and Rouge flights will be fully grounded by Saturday morning, according to Global News, impacting 130,000 daily customers, including 25,000 Canadians abroad who risk being stranded. 

Air Canada executives expressed their desire to reach a deal despite the union rejecting recent offers. “We have asked for the government to consider intervening if we get to that point, but we are doing everything in our power to avoid getting to that point.”

"We’re still available for negotiations, we’re still available for consensual arbitration,” reads a statement to Global News.

CUPE told Global that the airliner was "absent from the bargaining table for nearly a full day" since the union submitted its latest proposal Tuesday night, hours before strike and lockout notices were issued.

“The union has been at the bargaining table ever since, waiting for Air Canada to issue their counter-offer,” the union wrote in a press release. “The airline has yet to respond.”

Air Canada reportedly offered flight attendants a 20% first-year compensation increase last week, totaling 32.5% over four years. CUPE claims they never received the offer.

A spokesperson for the airline declined comment on negotiation offers, citing respect for the collective bargaining process. Air Canada pilots secured a 42% pay raise over four years last year, averting a strike.

Last year, Air Canada's wages, salaries, and benefits were $4.9 billion (23% of operating costs), and operating income was $1.26 billion (5.7% of revenue). Over 50% of mainline flight attendants earned more than $54,000, excluding benefits.

CUPE highlights a 10% flight attendant wage increase over the last decade, despite inflation and rising travel, and demands better rest, long-haul scheduling, and increased expense allowances.