Air Canada could have to pay $100 million to former workers

Employer failed to keep three centres operational, resulting in job loss for 2,200 workers

Air Canada could have to pay $100 million to former workers

Air Canada could have to pay more than $100 million to over 2,000 workers who lost their jobs at maintenance centres more than a decade ago, according to lawyers in a class action case.

The 2,198 Aveos employees from Montreal, Winnipeg, and Mississauga lost their jobs in March 2012, according to law firm Trudel, Johnston and Lesperance.

Nearly two years after her judgment stating that Air Canada had violated the law and had to compensate the workers, Justice Marie-Christine Hivon of the Quebec Superior Court rendered a new judgment rejecting most of Air Canada’s arguments aimed at reducing the amounts the company might have to pay its former employees, according to the law firm.

“Another step has been taken for justice to finally be served for former Aveos employees,” said class representative Gilbert McMullen. “The judge recognized that Air Canada’s decision to relocate its maintenance services disrupted the job market and complicated job searches for over 2,000 aerospace workers. Air Canada’s position amounted to penalizing us for a decision that allowed the company to make colossal savings.”

Previously, Air Canada said it took one of its pilots “out of service” after it became aware of “unacceptable posts” he made.

Air Canada could pay over $100 million

The compensation will likely top $100 million, with each employee receiving at least $45,400, said Elodie Drolet-French, a lawyer representing the workers, in the CP report.

The compensation could cover both pecuniary damages (loss of income and pension plans) and non-pecuniary damages (stress, anxiety, frustration, loss of self-esteem, insomnia, divorces, suicide attempts, etc.), according to the law firm.

"Although it is difficult at this time to estimate the total amount that Air Canada will have to pay as a result of the members' claims, the representative's attorneys conservatively estimate that this amount well exceeds $100 million," said Anne-Julie Asselinit, a partner at the firm, in the CTV News report.

Meanwhile, Air Canada is still appealing the decision released two years ago. 

On Monday, the employer said that the decision merely lays out a calculation method and calls for proof of losses from individual members.

"It is completely silent on the quantification of the total amount. Any assessment at this stage is therefore pure speculation," said spokesman Christophe Hennebelle, in the CP report published on CTV News.

Previously, Air Canada workers were said to be involved in a $22.5-million gold heist.

Latest stories