MONTREAL — Air Canada says contract talks with its pilots are nearing an impasse over what the airline says is the union’s wage demands.

The airline says it’s preparing a contingency plan to suspend its flights gradually over three days if a 72-hour strike or lockout notice is issued.

Unless an agreement is reached, either side could issue a notice as early as Sept. 15.

Air Canada says tentative agreement has been reached on a large number of items during the contract talks, but wages remain a key sticking point.

Air Canada and Air Canada Rouge operate close to 670 daily flights on average and carry more than 110,000 passengers.

If flights are suspended, Air Canada says it will take up to seven to 10 days to resume normal operations after a complete shutdown.

This report by The Canadian Press was first published Sept. 9, 2024.

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The Canadian Press