Air Canada strike settlement: rolling restart and refunds

Published on Aug 19, 2025, 6:28 pm CDT

7 min read

Air Canada reached a tentative four-year agreement with its flight attendants on August 19, 2025, triggering a rolling restart of flights this evening. The carrier says it will take about 7 to 10 days to rebalance crews and aircraft and restore the full schedule. Travelers should not go to the airport without a confirmed rebooking or an active, on-time reservation. Refunds and reaccommodation options are in place under Canada's passenger rights rules, with additional flexibility published by Air Canada for this event.

Key Points

Why it matters: A tentative four-year deal ends the walkout, and flights begin resuming tonight.
Travel impact: Network recovery will take 7 to 10 days, so cancellations and missed connections may continue.
What's next: Refunds and partner reaccommodation are available, but capacity is tight for several days.
Advice: Do not go to the airport without a confirmed rebooking or a flight showing on time.
Operations: Air Canada Express by Jazz and PAL continues to run, with mainline rebuilding in phases.

Snapshot

Air Canada says flights will restart the evening of August 19, 2025, with a gradual ramp over the next week. The airline urges customers to avoid the airport unless their itinerary is confirmed and on time. A flexible policy allows free changes for affected dates and full refunds in defined windows, with the option to hold value in an AC Wallet or receive a Future Travel Credit. If Air Canada cancels your flight, the airline will try to rebook you automatically, including on other carriers as required by Canada's Air Passenger Protection Regulations. Expect prioritization of key hubs, including Toronto Pearson International Airport (YYZ), Montréal Trudeau International Airport (YUL), Vancouver International Airport (YVR), Calgary International Airport (YYC), and Ottawa Macdonald Cartier International Airport (YOW).

Background

The strike paused most Air Canada and Air Canada Rouge operations for multiple days while the sides negotiated over wages and pay for ground duties such as boarding and deplaning time. Ottawa's labor board weighed in, and federal officials pressed for a negotiated outcome as travel disruptions mounted. The tentative agreement, which now goes to union members for ratification, allows a phased restart that will still feel bumpy as planes and people return to position. For context on how the shutdown risk built and how arbitration pressure unfolded, see Air Canada Lockout Launches 72-Hour Shutdown Plan and Air Canada strike: Ottawa orders binding arbitration. Travelers should plan for rolling irregular operations through late August as the schedule restabilizes.

Latest Developments

Refunds and flexibility, what you can claim

Air Canada has posted event-specific flexibility. If you purchased on or before the published purchase dates and your original travel fell within the affected window, you can change to later dates in the same cabin without a fee, or you can cancel for a refund of the unused portion, or take an AC Wallet or Future Travel Credit. Separate from the airline's goodwill policy, Canada's Air Passenger Protection Regulations require rebooking or a refund when the carrier cannot get you out within established timelines, even in situations outside the airline's control. If you are mid-journey and the trip no longer serves its purpose, you can ask to be returned to your point of origin and refunded. Keep documentation, and if you used a travel advisor or an online agency, work through that channel to avoid duplicate handling. Do not go to the airport unless your replacement itinerary is confirmed.

Reaccommodation across partners, what to expect

Air Canada says it will rebook customers free of charge on the next available flight to their destination, including using other airlines where required by regulation. That can include Star Alliance partners and additional carriers where agreements or obligations apply. Automated reaccommodation will search inventory for up to three days after a cancellation, then expand to partner options. Because peak-season capacity is limited, some travelers will find earliest seats several days out, especially on transatlantic and sun routes. If the options offered do not meet your needs, you may request a refund instead. If you self-purchase a new ticket on another carrier, Air Canada will refund the unused portion of your original Air Canada ticket, but incidental expenses or non-air transport are generally not reimbursed. Check your booking regularly, and accept workable options quickly, since partner inventory gets snapped up.

What is running tonight, and how the restart phases in

The carrier begins a rolling restart the evening of August 19, 2025, with a week-long ramp toward normal operations. Early flights prioritize long-haul and other network-critical departures to reposition aircraft and crews, then expand to broader North American coverage. Air Canada Express flights operated by Jazz and PAL are listed as continuing on schedule, which helps maintain some regional connectivity while mainline and Rouge rebuild. Expect hub-first recovery at Toronto Pearson International Airport (YYZ), Montréal Trudeau International Airport (YUL), Vancouver International Airport (YVR), Calgary International Airport (YYC), and Ottawa Macdonald Cartier International Airport (YOW). The airline repeatedly warns customers not to go to the airport without a confirmed, on-time reservation or a confirmed rebooking on any carrier. Watch your email, app notifications, and the online flight-status page before departing for the airport.

Analysis

Two realities now collide. First, the labor dispute produced a notable policy shift on ground-time compensation, a long-running cabin-crew pain point in North America. Second, network recovery is never instantaneous. Aircraft and crews are out of position, duty-time clocks are tight, and peak-season demand leaves little slack on partner airlines. That is why the airline is forecasting a 7 to 10 day normalization window, and why travelers should expect lingering cancellations, time changes, and seat downgrades during reaccommodation.

Canada's regulations are clearer than many realize. When a large airline cancels for reasons outside its control and cannot depart within 48 hours, it must either refund or book you on another airline, taking any reasonable route, including from a nearby airport, and pay to get you there. Air Canada's event page goes further, outlining automatic rebooking across more than 120 partner carriers, defined refund windows, and free change options into late September. That is practical, traveler-friendly guidance, but it does not guarantee near-term seats because partner capacity is finite.

Your best move is to decide quickly. If timing is critical, accept the first workable partner itinerary you are offered, even if it is not ideal. If your trip can wait, take the refund or a credit and rebook later, when inventory improves. Above all, heed the airline's warning and skip the airport unless your itinerary is confirmed and showing on time.

Final Thoughts

The worst of the disruption is ending, but recovery will be uneven for a week. Use Air Canada's flexibility to land a workable plan, and lean on partner reaccommodation when automation finds space. If nothing suitable appears within the regulatory timelines, request a refund and try again once capacity opens. Confirm your itinerary before leaving home, arrive at the airport only with a live, on-time booking, and keep notifications enabled. With steady ramp-up, hubs will stabilize first, followed by regional spokes, and the network should normalize inside the 7 to 10 day window set after the Air Canada strike settlement.