Source: Department of Finance of Canada
In a country as vast as Canada, it is essential we maintain connections between people and our communities.
To that end, today the Deputy Prime Minister and Minister of Finance, the Honourable Chrystia Freeland, and the Minister of Transport, the Honourable Omar Alghabra, announced financial support for Air Canada.
As a condition to receiving this support, Air Canada will ensure that:
- Regional communities retain air connections to the rest of Canada through the restart of service at airports temporarily suspended by Air Canada;
- Any customer of Air Canada who wants a refund will receive one for certain pandemic-related cancelations;
- Airline jobs, pensions, and collective agreements are protected; and
- Air Canada remains a customer for Canada’s aerospace sector.
The Government of Canada remains committed to supporting people who work in the air sector and Canadian airlines during this unprecedented and difficult time for the industry. The government is also committed to supporting the gradual return of commercial activity in the aviation sector in Canada in a way that continues to prioritize the health, safety, and security of all Canadians.
Negotiations continue with other Canadian carriers on financial support and any agreement reached in those negotiations will include a requirement that the airline also refund pandemic related-cancelations. In the event that an airline does not need liquidity support from the government, the government remains open to helping all airlines provide voucher refunds to their customers.
This financial support announced today, in the form of repayable loans and an equity investment, will help Air Canada weather the current economic downturn and will protect thousands of Canadian jobs.