The Carney government is now trying to hold two lines at once in the Air Canada standoff: force service back on, and signal it will crack down on unpaid work. Labour Minister Patty Hajdu, who invoked Section 107 to compel a return to work over the weekend, is now publicly stressing that “nobody should be expected to work for free,” and has ordered a probe into allegations of unpaid labour in the airline sector.
In a video statement yesterday, she said both the union and the company were at an impasse but “it’s not too late to get a deal,” urging the parties to “find a path forward together.” However, she added: “I’ve also heard the allegations of unpaid work. It’s unacceptable… And that’s why I’ve ordered a probe… If employers are exploiting loopholes in the Canada Labour Code, we’ll close them.”
Hajdu’s message landed alongside community notes pointing out the timeline: she invoked Section 107 roughly two days before posting that “nobody should be expected to work for free.”
Management’s calculus is also under the microscope. In an interview from BNN Bloomberg’s Trading Day, Air Canada CEO Michael Rousseau was asked about contingency plans for passengers. His answer suggested the carrier expected government enforcement to hold.
Sponsored · Silver47 Exploration Inc.
“Well, we thought, the Section 107 would be enforced and they wouldn’t illegally avoid Section 107.” Pressed again—“So you made no provision because you didn’t realize a union would do this”—he replied, “They gave us no indication they would do this.”
Section 107, once obscure, has become the government’s go-to lever in high-stakes disputes. It was used last year to halt work stoppages at ports, railyards, and Canada Post. Labour groups argue the mechanism chills bargaining and encourages employers to hold out for state intervention.
Information for this story was found via the sources and companies mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
