Tensions mount as clock ticks down on Air Canada contract talks

Tensions are mounting as a potential pilot strike or lockout at Canada’s largest airline is only days away with no signs of a breakthrough in talks.

Numerous business groups including the Canadian Chamber of Commerce are set to hold an event in Ottawa today to urge the government to intervene after calling for binding arbitration in an open letter.

Air Canada said earlier this week that it’s increasingly likely that there will be a work stoppage as talks with the union remain far apart.

Unless an agreement is reached, either side could issue a 72-hour notice of a strike or lock out as early as Sunday, which could lead to a full work stoppage as early as Sept. 18.

Air Canada said Monday that an agreement could still be reached if the Air Line Pilots Association moderates its “excessive” wage demands.

The union said it was corporate greed that was holding up talks, as Air Canada continues to post record profits while expecting pilots to accept below-market compensation.