WestJet mechanics strike averted before Canadian holiday weekend

(Bloomberg) – Prime Minister Justin Trudeau’s government has stepped in to prevent a strike that would have disrupted air travel over the Canada Day holiday weekend.

Labour Minister Seamus O’Regan directed the Canada Industrial Relations Board to initiate final and binding arbitration to resolve the dispute between WestJet Airlines Ltd., Canada’s second-largest airline, and the Aircraft Mechanics Fraternal Association union, according to a statement Thursday.

This means that the possible strike – which would have started on Friday evening and could have affected the holiday trips of around 250,000 passengers – has been averted for the time being. The Calgary-based airline, which is controlled by the private equity firm Onex Corp., had already cancelled dozens of flights on Thursday in anticipation of the industrial action.

The union said in a separate statement that it would comply with the minister’s order and “instructs its members to refrain from any unlawful industrial action.”

O’Regan wants to “avert the strike, have less disruption and more certainty,” according to his office. Last week, the minister referred the dispute to the CIRB, essentially asking it to look into what measures can be taken to help both parties reach an agreement.

WestJet managed to avoid industrial action by its maintenance engineers earlier this month and again in May, but this week the workers were able to strike again.

WestJet reached a tentative agreement with the union last month, but it was rejected by 97.5 percent of union members. Since then, the airline has been trying to avoid a strike by going through binding arbitration for a collective agreement.

On June 17, WestJet filed a formal request for the CIRB and the Minister of Labour to intervene and refer the parties to arbitration, which would end any industrial action.

The union does not believe arbitration is necessary and is asking the CIRB to dismiss the airline’s request because the parties have made significant progress in resolving the dispute and are continuing to negotiate, according to a brief filed with the CIRB.

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