Air Canada Confirms Receipt of CAW Pension Arbitration Ruling

MONTREAL, Sept. 16, 2011 /CNW Telbec/ – Air Canada said today it has received a decision in the arbitration related to pension arrangements for new hires represented by the Canadian Auto Workers (CAW) union at the airline. The CAW represents approximately 4,000 Customer Service and Sales Agents employed by Air Canada.

The arbitration process was established under the collective agreement signed between Air Canada and the CAW and ratified by the union on June 27, 2011. Under the terms of the agreement, the issue of pension arrangements applicable to employees hired after the date of ratification was referred first to mediation and then to arbitration. In his ruling issued today, arbitrator Kevin Burkett determined that a hybrid pension regime consisting of part defined contribution and part defined benefit plan will apply to new hires represented by the CAW.