Air Canada, on Saturday, suspended all its operations after thousands of its flight attendants launched a nationwide strike, disrupting travel plans for more than 130,000 passengers.

The Canadian Union of Public Employees (CUPE), which represents about 10,000 flight attendants, confirmed the industrial action began shortly before 1 a.m. local time.

“We are now officially on strike,” CUPE said in a statement, according to ITV.

The airline, which serves 180 destinations worldwide, acknowledged the walkout and announced that all flights had been grounded.

“Air Canada is strongly advising affected customers not to go to the airport,” the carrier said. It added that it “deeply regrets the effect the strike is having on customers.”

CUPE was legally entitled to embark on strike from 12:01 a.m. Saturday after issuing a 72-hour notice earlier in the week.

The work stoppage officially commenced at 12:58 a.m., both the union and airline confirmed.

Air Canada had already begun scaling back operations on Friday in anticipation of the labour action.

By 8 p.m. that evening, 623 flights had been cancelled, affecting more than 100,000 passengers. The airline’s full 700-flight schedule for Saturday has also been scrapped.

Alongside wage increases, the union is pressing for payment for ground tasks such as helping passengers during boarding, which are currently unpaid.

Rafael Gomez, director of the University of Toronto’s Centre for Industrial Relations, said the practice of only paying flight attendants while in the air is “common practice, even around the world.”

He added that CUPE had successfully raised public awareness of the issue.

“‘I’m waiting to board the plane and there’s a flight attendant helping me, but they’re technically not being paid for that work,’” he said, noting how passengers might view the situation.

“That’s a very good issue to highlight,” Gomez remarked, suggesting that progress in the dispute could set a precedent for other airlines.

In a statement on Thursday, Air Canada said its latest proposal would see senior flight attendants earn an average of CAN$87,000 ($65,000) annually by 2027.

CUPE rejected the offer, calling it “below inflation (and) below market value.”

The union also turned down requests from both the federal government and the airline to refer the dispute to independent arbitration.

Despite the shutdown, labour experts predict the strike may not drag on.

“This is peak season,” Gomez noted. “The airline does not want to lose hundreds of millions of dollars in revenue… They’re almost playing chicken with the flight attendants.”

The disruption comes as Canada’s economy is already under strain from U.S. tariffs under President Donald Trump, which have hit key sectors such as autos, aluminium and steel.

The Busine’s Council of Canada warned ahead of the strike that a shutdown at Air Canada could have ripple effects nationwide.

“At a time when Canada is dealing with unprecedented pressures on our critical economic supply chains, the disruption of national air passenger travel and cargo transport services would cause immediate and extensive harm to all Canadians,” it said. (Saturday Tribune)