Air Transport World

Air Canada. (News Briefs: North America Report).(flight attendants turn down concessions offer)(Brief Article)

Air Canada's flight attendants rejected President and CEO Robert Milton's call fur C$650 million ($424.9 million) in permanent annual concessions from employees out of a C$3 billion labor budget, stating that "no new concessions are warranted" given that their contract was ratified at the end of2002. Milton made the request as AC reported a fourth-quarter net loss of C$364 million, substantially worse than the year-ago loss of C$277 million. Contributing to the deteriorating position were excess capacity in the domestic market combined with soaring fuel prices (see Cover Story, p. 22).

In addition to seeking labor cost savings, the airline announced that it plans to sell up to 49% of Air Canada Technical Services, its MRO operation, as well as a "significant stake" in its ground-handling unit. …

Log in to your account to read this article – and millions more.