The Canadian Union of Public Employees, representing more than 10,000 Air Canada cabin crew, has given the airline a 72-hour deadline to reach a pay deal or face a strike.
The airline, which had warned of potential flight disruptions, declared a deadlock in negotiations yesterday, after the union rejected its proposal for binding arbitration.
The carrier had offered a 38% increase in total compensation for flight attendants over four years, with a 25% raise in the first year.
But, President CUPE Air Canada leader Wesley Lesosky said the offer was below inflation, below market value, below minimum wage and still leaves flight attendants unpaid for all hours of work.
Most airlines pay cabin crew only for time spent in flight, but flight attendants in North America are seeking pay for all hours worked, including boarding and waiting at airports before and between flights.