days until our Collective Agreement expires, we are preparing, we are united and we will make change.

Airlines Must Reach Deal With Unions on Wage Subsidies to Be Eligible for Federal Relief Package

OTTAWA — (BUSINESS WIRE) — Canadian airlines must respect collective agreements and negotiate letters of understanding with unions to implement the Canada Emergency Wage Subsidy (CEWS) program, says the Canadian Union of Public Employees.

Canada’s largest union is also calling on the federal government to make such a deal a pre-condition of eligibility to the federal airline relief package being developed to help companies to stay afloat in coming months.

“Right now, most Canadian airlines want to impose the terms of the 75 per cent wage subsidies on our members: no subsidy top-up, no benefits and no employer contribution to the pension plan,” said CUPE National President Mark Hancock. “Some airlines are also circumventing unions and imposing arbitrary deadlines to force flight attendants to choose between the CEWS or the Canada Emergency Response Benefit.”

“Instead of violating our collective agreements, airlines should follow the example set by Flair Airlines. They have taken advantage of the wage subsidy program to rehire all laid-off flight attendants, but they’re also paying them a 25 per cent top-up and benefits,” added Hancock.

Under the CEWS, Ottawa assumes 75 per cent of workers’ wages, allowing Canadian airlines to bring thousands of flight attendants and other workers back onto the payroll, after they lost their jobs due to downsizing caused by the COVID-19 pandemic.

“All Canadian airlines should take advantage of the wage subsidy program and negotiate a deal with their respective union,” said CUPE National Secretary-Treasurer Charles Fleury. “It’s a matter of equity and respect for our flight attendant members, who showed their professionalism during this crisis despite the risks to their own health.”

On top of the CEWS, CUPE reiterates that any federal relief for the airline industry must focus first and foremost on workers.

Last month, CUPE and other Canada’s airline unions told the federal government that any relief package must be developed in consultation with, and have the consent of, the bargaining agents representing airline workers. The package should maintain and return employees to the payroll, protect collective bargaining rights, and come with legal guarantees that financial support from the government will go first to support workers’ wages, salaries, and benefits.

CUPE and its allies were clear that this should not be a handout with no-strings-attached and expect that any public investment into the industry should result in a public stake in the company or companies involved.

CUPE is Canada’s flight attendant union, representing 15,000 workers at eleven different airlines across Canada, namely Air Canada (Mainline and Rouge), Air Transat, Sunwing, WestJet (Mainline, Encore and Swoop), Canadian North, First Air, Calm Air, Flair, PAL Airlines, Air Georgian, and Cathay Pacific.

Pension While on CERB and Extension to the Bid Deadline

The employer has agreed with the Union, that if you opt to take the CERB program, you will have the option to buyback your pension.  You will have this option for 90 days when you return to active duty.  You will be required to cover your portion and the employer’s portion.

We have also reached out to the employer to request a bid extension and will advise once we have any further information.

Please be reminded, that at this time, bidding for Rouge closes today at 23:59 EDT and Mainline closes today at 20:00 EDT.

We wanted to get this out immediately, more info to come, we understand you have lots of questions, please continue to reach out.

In solidarity,

Update from the Component Secretary-Treasurer

Over the past few weeks, I have received a few emails regarding union dues and whether the Union could give a dues holiday at the current time.

First, I believe it is important to understand the union dues structure. Air Canada and Air Canada Rouge deduct union dues from your monthly pay cheque and remit the dues to the Component. The Component is then responsible for remitting a “per capita” payment to CUPE National. The Component is also responsible for sending the five Locals of the Air Canada Component their monthly budgets which are set out in the Component Bylaws. The remaining dues are used by the Component to pay our staff, lawyers, committee members, and a variety of overhead costs.

Last week I reached out to the CUPE National Secretary-Treasurer requesting a dues holiday on our per capita remittance so that we could in turn lower union dues or give a complete dues holiday. This is similar in nature as to how WIP does the odd dues holiday. I received a reply yesterday, which you can read HERE. In essence, the Component cannot unilaterally reduce dues or provide a dues holiday, as the CUPE constitution sets a minimum due structure and any changes in union dues requires a membership Bylaw referendum and approval of the National President.

It is important to note that we operate on a percentage dues structure. This means that members who have their hours or earnings reduced will see a corresponding reduction in the dues they pay. The Component Bylaws set union dues at 1.5% of gross income, and this is why earnings received under the CEWS program will be subject to union dues as they are income from the employer. For those on the CERB program, union dues will not be collected as you are not on the Air Canada or Air Canada Rouge payroll.

I have also received questions about the strike fund. The strike fund is managed by CUPE National and is for the explicit purpose of supporting members on strike. Many other CUPE locals and sectors are in bargaining and need a strong strike fund to back them up at the table. The strike fund also covers other costs such as strike averting and support campaign costs, as well as interest arbitration and legal costs. Even if the funds were given directly to members, CUPE would be required to withhold taxes at the source, and these would need to be declared by the recipient, which could in turn reduce government assistance. It is also important to note that we have not lost our right to strike in the future, we have that right, and if we strike we will need to demonstrate to the employer that we have a strong strike fund to carry us forward.  This we have, and if we need to use it in 2025, we will have full access as established in the CUPE Constitution.

I hope this provides some clarity on the situation and please do not hesitate to reach out if you have further questions.

In Solidarity,

Alex Habib
Secretary-Treasurer, Air Canada Component of CUPE

CEWS or CERB Questions for Air Canada

As you are aware, the company documents have come out regarding the CEWS and CERB programs. There are many questions which we have compiled below. As we receive the answers, we will provide them to you. We understand this is a difficult decision for some. We promise to keep you informed to the greatest extent possible. The questions we have so far are:

Q1: What happens if I came over from Rouge, will my time on CEWS/CERB count towards my pay freeze?
A1: Awaiting response from Air Canada/Air Canada Rouge.

Q2: What is the pay schedule on CEWS?
A2: The CEWS payment will follow the current pay frequency of that employee.  Meaning, a flight attendant will receive an advance on the 1st of the month and receive their CEWS payment on the 17th, less the flight advance.

Q3: If I choose to go on CERB, can I buy back my pension?
A3: Pension buyback is not possible wile on CERB.

Q4: Will my benefits continue on either program?
A4: For Mainline your current coverage for medical, dental, and life will be maintained on either program.
For Rouge your current coverage (i.e. basic or extended) will continue on the CEWS program. If you choose the CERB program you will maintain only basic coverage.
This is covered in the comparison chart.

Q5: What happens to April 2020 vacation if I’m currently off duty?
A5: It will be paid out upon return to active duty.

Q6: What happens to scheduled vacation for May 2020 if I am on inactive status?
A6: Your vacation will be rescheduled upon your return to active status. There will be no proration of vacation day entitlement.

Q7: How is the CEWS calculation done if I have been off for more than (7) seven days?
A7: Awaiting response from Air Canada/Air Canada Rouge.

Q8: For those booked off prior to the ODS program what will happen if I have subsequently been approved for WIP?
A8:  Awaiting response from Air Canada/Air Canada Rouge.

Q9: What happens to those whose training was cancelled?
A9: Currently all training has been suspended until May 31, 2020.  We will keep you updated once we have further information.

Q10: What happens to those who would like ground duties or to be placed on the return to work program?
A10: You will need to go through the applicable process and per Company policy.

Q11: Will there be a difference in how we are recalled depending on which program we choose?
A11: No, layoffs and recalls will always follow the master seniority list regardless of which program you choose.

Q12: How is the recent flow through class’ CEWS payment calculated as they were paid by both Rouge and Mainline in January 2020?
A12: The Company can only include the income that was paid on the Air Canada Mainline side.  However, the denominator would be reduced based on the flow through date.

Q13: I am just returning from WIP, am I eligible for CERB or CEWS?
A13: If you are planning to return effective with the May block month and wish to volunteer for CERB or CEWS, please submit your application for consideration.

Q14: I am just returning from IMMS, am I eligible for CERB or CEWS?
A14: If you are planning to return effective with the May block month and wish to volunteer for CERB or CEWS, please submit your application for consideration.

Q15: I was on the SPLOA program. What are my options as my CEWS calculation is very low?
A15:  If you have not been in receipt of earnings from Air Canada during any portion of the period between Jan 1, 2020 and March 15, 2020 it will have an impact on the total earnings calculation prescribed by the legislation. CERB may be of a greater benefit to you.

Q16: If I plan to go on maternity leave soon, what are my options under CEWS or CERB?
A16:  Awaiting response from Air Canada/Air Canada Rouge.

Q17: What if I am returning from a leave and I am not trained and do not wish to take a voluntary option?
A17: Awaiting response from Air Canada/Air Canada Rouge.

Q18: Rouge – Waiting period for health benefits for new hires, the company says that the waiting period is paused. If member selects CEWS the period should not be paused.
A18: Awaiting response from Air Canada/Air Canada Rouge.

Q19: What wages are being included?
A19: Awaiting response from Air Canada/Air Canada Rouge.

Q20: Where do people go to verify their pay is correct?
A20: Awaiting response from Air Canada/Air Canada Rouge.

Q21: How will members be recalled, i.e.: 72 hours?
A21: Recall from CEWS Inactive Status shall be in order of cabin personnel seniority on the basis of operational requirements. Crew Planning will contact you to advise of your report-to-work date.  You will be given a minimum of seventy-two (72) hour notice, following which, you’ll be returned to active duty.  You will have the ability to decline recall subject to operational requirements.

Q22: If someone applies for CEWS for May and their retirement date is June 1st, could they be denied CEWS due to not being available until June 6th?
A22: Awaiting response from Air Canada/Air Canada Rouge.

Q23: For Pension while on a pay of 75% of earnings (CEWS), will my pension be 100% of allowable service or 75%?
A23: The full allowable service will be granted with the CEWS program even if you contribute on lower earnings. The employment status will remain as “Full Time”, which will grant 100% of the allowable service. The pensionable earnings will be the 75% only.

Q24: If CEWS ends June 6, 2020 and we are not recalled what are my options?
A24: You would be in a position to apply/roll over to the CERB program or review any mitigation options at that point.

Q25: If I have an overlap pairing or reassignment after May 5, 2020 as part of the April block month and request CEWS or CERB Inactive Status, do I still operate and get paid?
A25: Yes. Anything you operate, reassignment, draft or VE, will be paid. CEWS Inactive Status will commence after your April flying where a pairing overlap exists.

Q26: I am active in April. Will my April pay still be deposited?
A26: Yes, regular pay schedules will still apply for the April block month. You will receive a flight advance on the 1st of the month and it will be recovered on the 17th of the month’s paycheque as usual.

Q27: What about my benefits?
A27: Your Basic Group Life, Basic Accidental Death and Dismemberment, Supplementary Health and Dental plans will be maintained, without interruption during the CEWS or CERB Inactive Status.

Q28: What happens to pension premiums while on CEWS Inactive Status?
A28: If you select the CEWS benefits, pension contribution will be based and deducted from your CEWS wages.

Q29: Does regular vacation accrual continue?
A29: Yes.  Full annual and statutory entitlement will apply on both the CEWS and CERB programs.

Q30: I am currently on Off Duty Status for April, what happens to my April scheduled vacation?
A30: All vacation scheduled within the period of April 3, 2020 and May 4, 2020 will be postponed and processed as a payout. This payout will be held for you until you return from the active payroll. Should you wish to receive this payout prior to your return to the active payroll, please send a request to the Employee Care Team.

Q31: What happens to my scheduled vacation between May 4, 2020 and June 6, 2020?
A31: If you have vacation between May 4 to June 6, it will be postponed. Once you return to the active payroll, it will be rescheduled accordingly but must be taken prior to April 30, 2021. If you do not return to active payroll by this date, it will be paid out.

Q32: What will happen if currently booked off sick?
A32: Current active Cabin Personnel on short term sickness leave will start CEWS or CERB Inactive Status effective May 5th, 2020.
Company-paid sick leave is not applicable. Employees will be booked on effective May 4 and consequently be placed on CEWS or CERB Inactive Status

Q33: If I’m sick, are sick leave credits applicable?
A33: No, sick credits will not apply while you are on CEWS or CERB Inactive Status.

Q34: If I’m currently in receipt of income replacement benefits either through WIP/GDIP, workers’ compensation, maternity leave, etc., will I be placed on CEWS Inactive Status?
A34: No. As long as you are in receipt of benefits, you will not be placed on CEWS or CERB Inactive Status. Should you be placed on involuntary Inactive Status in seniority order, this will only apply upon return to full duties, if still applicable.

Q35: How will I be recalled from CEWS or CERB Inactive Status?
A35: Recall from CEWS or CERB Inactive Status shall be in order of cabin personnel seniority on the basis of operational requirements. Crew Planning will contact you to advise of your report-to-work date.  You will be given a minimum of seventy-two (72) hour notice, following which, you’ll be returned to active duty.  You will have the ability to decline recall subject to operational requirements.

Q36: Will CEWS or CERB Inactive Status affect my service date?
A36: No, your service date is not impacted by CEWS or CERB Inactive Status. You will retain your current service date.

Q37: Will this affect my approved base transfer?
A37: All base transfers will apply as per usual.

Q38: My training has been cancelled. What will happen to my qualifications while on Inactive CEWS or CERB Status?
A38: Air Canada has obtained a let allowing qualifications to be maintained until operations at the training center are resumed. We will further communicate on this when we have more information.

Q39: Will I maintain access to ACaeronet?
A39: Yes, access to ACaeronet, HR Connex, ETS and Air Canada email will be maintained.

Q40: Where may I update my personal information?
A40: As per usual, all personal information may be updated in HR Connex. Telephone numbers must be updated in CrewLink.

Q41: What happens to those who would like ground duties or be placed on the return to work program?
A41: You will need to go through the applicable process and per Company policy.

Q42: Do I still have access to my employee travel privileges?
A42: Yes, you will still have access to your full employee Air Canada travel privileges, including travel on OAL while on CEWS Inactive Status.  Your employee travel privileges will be limited to Air Canada only while on CERB Inactive Status.

Q43: Do I need to return my uniform, RAIC and/or parking pass?
A43: Crew who are placed on CEWS or CERB inactive Status are asked to retain these items until further notice.

Q44: Who should I contact should I have questions during my CEWS Inactive Status?
A44: Pay related questions can be directed to Crew Pay, and questions specific to vacation, PBS and training can be directed to Crew Planning.

Q45: What happens if I’m enrolled in the DSP if I’m on CEWS or CERB Inactive Status?
A45: If you are on CEWS Inactive Status, your DSP contributions will be based on your reduced earnings.  If you select CERB Inactive Status, you will not contribute to the DSP.

Q46: Will my CEWS Inactive Status affect my seniority?
A46: No, it will not affect your seniority.

Q47: I was on the Reduced Block Program.  What are my options as my CEWS calculation is very low?
A47: The calculation of CEWS wages has been set by the Government of Canada and is based on 75% of your average weekly eligible renumeration paid between January 1 and March 15 up to a maximum of $847 per week.  As such, it might be more financially advantageous to apply for the CERB program.

Q48: I am just returning from a Leave of Absence/Maternity Leave.  Am I eligible for CEWS or CERB Inactive Status?
A48: Yes, however if you have not been in receipt of earnings from Air Canada during any portion of the period between Jan 1, 2020 and March 15, 2020 it will have an impact on the total earnings calculation prescribed by the legislation. CERB may be of a greater benefit to you.

Q49: What about my Pay Progression?
A49: There is no change to how Pay Progression is applied during CEWS inactive Status. Absence from the payroll for up to fifteen (15) calendar days will not delay an increase, but an absence of between sixteen (16) and thirty (30) calendar days will delay such an increase by one (1) full pay period and thereafter by one (1) pay period for each additional thirty (30) calendar days.

Q50: What is the CEWS calculation for Cabin Crew?
A50: The CEWS calculation for Flight Attendants is as follows:

Federal gross earnings plus federal taxable benefits from the following paycheques:

January 1st flight advance
January 17th paycheque
February 1st flight advance
February 17th paycheque

Total of above earnings and benefits X 75% / 8.6964 weeks = CEWS payment to a weekly max of $847

*note- 8.6964 will be reduced dependent on periods of unpaid absences of 7 consecutive days or greater

Example:
$1,000.00 – January 1st flight advance
$3,468.85 – January 17th pay
$1,000.00 – February 1st flight advance
$3,984.25 – February 17th pay
$9,453.10

$9,453.10 X 75% = $7,089.83 / 8.6964 = $815.2598 per week < $847,  therefore payment will equate to $815.2598 per week
**March 1, 2020 flight advance is not applicable as it is for earnings that will be paid after March 15, 2020**

Please understand that we recognize that many of you are searching for answers as to why you were awarded the amounts you received.  We are here to support you through all means available and will continue to be. This is the Company’s program they are administering on behalf of the Government so a lot of the answers have been challenging on all sides to receive, but as you ask the questions of us, we are working with the Company to get answers.

In solidarity,