Air Canada Announces Details Of Job-Creating Expansion

On Tuesday, 2 October 2012, Air Canada took the wraps off plans to create combine it Air Canada Vacations division with a new low-cost airline.

Air Canada is hiring.

Air Canada recently announced it would be hiring at least 900 new employees to staff the new venture.

Canada’s largest airline says it will have the as-yet unnamed low-cost carrier flying by June 2013. The carrier’s initial fleet will consist of two Boeing 767s and two Airbus A319s from the airline’s existing fleet.

The new airline is expected to fly to several new and existing destinations in Europe and the Caribbean that Air Canada cannot economically serve.

Air Canada: No Comment On Name For New Venture

Air Canada would also not comment on the name of the new leisure group. However, the new group’s branding is expected to be different than Air Canada Vacations.

The good news is Air Canada said the new airline will create 200 jobs for flight attendants and pilots. The bad news is those new pilots and flight attendants will have lower wages and fewer benefits than existing Air Canada employees.

Michael Rousseau, Air Canada chief financial officer, said last month that half of the savings from the new carrier would come from lower labor costs.

The remainder of the savings will come from simply cramming more people into its planes.

A typical Air Canada 767 has 225 seats. The new airline’s 767s will have 50 more seats added to improve its operating costs.

Airline industry analyst say Air Canada plans to expand it new airline by moving it older planes from the main airline as it acquires new wide body aircraft.

Air Canada negotiated changes in its contract with its pilots unions earlier this year that allows it to move it older, smaller jets to the new lower-paying airline. The agreement reportedly allows up to 20 smaller narrow body aircraft to moved to the new airline at a rate of two narrow body aircraft for every one wide body acquired by the main airline fleet.

During 2012-13 Air Canada Plans To:

• Hire an additional 60 agents in the coming months for its call center in Montreal and Toronto. So far in 2012 the airline has hired 160 new call center agents.

• Hire approximately 400 flight attendants for its main network airline operation . The first training classes are scheduled in October.

• Hire approximately 500 permanent, part-time and full-time airport customer service agent and baggage handlers at major airports cross Canada as the airline prepares for its winter schedule.

• Hire about 150 flight attendants and 50 pilots for its new low cost airline launch in 2013.

Information on Air Canada job postings is available at aircanada.com/careers.