‘Perfect storm’ causing constant delays at Air Canada, despite windfall profits: CEO

A “perfect storm” of problems lies behind Air Canada’s wave of flight delays over the summer, its CEO said, even as the country’s largest airline roars back to profitability — with no sign of slowing down. Despite more staff and revamped technology, Air Canada’s operations in June and July failed to meet “expected levels,” Michael Rousseau told analysts on a conference call Friday. The CE identified “severe weather” — thunderstorms, in particular — and “global supply chain issues” as among the culprits. Tardiness and cancellations have especially plagued Air Canada’s large network of regional flights, run by Jazz Aviation. Rousseau pointed to a pilot shortage, which he boiled down to several factors: new carriers such as Flair Airlines and Lynx Air competing for labour; stricter regulations on shift length, “which causes all airlines in Canada to add 10 to 15% more pilots to fly the same schedule”; and dwindling enrolment at flight schools during the COVID-19 pandemic. “We have this almost perfect storm that exists at this point in time,” Rousseau said. “We’re working hard with our partner, Jazz, on solving that problem right now ? but it will take some time to transition.” In spite of tens of thousands of flight delays in its second quarter, Air Canada posted earnings that soared to pre-pandemic levels amid strong travel demand and pricier fares. It reported net income of $838m last quarter compared with a loss of $386m a year earlier — and nearly a billion dollars in losses through all of 2022. Revenues grew more than a third to $5.43b, a record for the second quarter.<br/>