The Canadian government has taken decisive action to end the strike involving Air Canada, compelling both the airline and the Canadian Union of Public Employees (Cupe) to commence binding arbitration after the work stoppage began early Saturday. Jobs Minister Patty Hajdu emphasized the need to preserve “stability and supply chains” amidst significant disruptions, impacting roughly 500 flights daily.

With the airline's operations brought to a halt, Air Canada has strongly advised around 130,000 affected travelers not to head to airports unless traveling with alternative airlines. Hajdu invoked Section 107 of the Canada Labour Code, a move that has drawn criticism from Cupe leaders, who argue that government intervention violates their constitutional rights and sets an alarming precedent for labor relations in Canada.

On the ground, flight attendants have initiated picketing actions at major airports, pushing for a compensation structure that they argue provides fairer wages and proper payment for time spent during ground operations. The strike’s beginnings saw Air Canada cancel over 600 flights by Friday night, affecting an estimated 100,000 passengers.

While the airline proposed a 38% pay increase over four years in its negotiations, union leaders argue this falls short of existing inflation and the market's competitive standards. Cupe claims that the airline failed to negotiate earnestly during their eight-month discussions, leading to over 99% of their members voting in favor of the strike just prior to its commencement.

The situation remains fluid as both parties prepare to engage with government-mandated negotiations, with the potential for further disruptions lingering unless a resolution is reached swiftly.