WestJet has suspended its mainline operations after failing to reach a new labour agreement with flight attendants by the 2 August deadline. The shutdown grounds the airline’s Boeing 737 and 787 fleets, disrupting passengers and communities across its network.
WestJet Encore’s De Havilland Dash 8-400 services and codeshare flights operated by partner airlines remain operational. WestJet says its proposal included a double-digit first-year wage increase and pay covering certain pre- and post-flight duties.
CUPE maintains that key concerns remain unresolved after nearly 11 months of negotiations but says it is ready to resume talks. The union has also urged the Canadian government not to intervene and to allow the bargaining process to continue.

Airlines across Asia and the Middle East are reporting weaker profits as elevated jet-fuel prices substantially increase operating costs. Carriers with limited fuel hedging are particularly exposed, while route disruptions and longer flight paths are adding further expense.
Although some airlines have introduced higher fares and fuel surcharges, competitive markets and softer demand restrict full cost recovery.
The continuing fuel-price volatility is therefore expected to place sustained pressure on airline margins and financial performance during 2026.

Air France-KLM and Lufthansa Group have submitted competing bids for a 44.9–49.9% stake in TAP Air Portugal. Both groups plan to retain TAP’s Portuguese identity while developing Lisbon as a major hub for South Atlantic services to Brazil, Africa and North America. Their proposals also include network expansion, job creation and increased aircraft-maintenance investment in Portugal. The Portuguese government has not yet announced when it will select a preferred bidder.