OTTAWA — Transport Minister Anita Anand has announced plans to summon Canadian airline CEOs to a meeting in mid-December after Air Canada revealed it will begin charging basic fare passengers for carry-on luggage starting next year. Anand criticized the decision, calling it “unacceptable” during an interview on CTV’s Power Play.
Starting January 3, Air Canada’s lowest-fare passengers flying to North American and sun destinations will pay $35 for their first carry-on bag and $50 for a second. Seat selection changes will also incur fees starting January 21. Passengers will still be allowed to bring small personal items, such as purses or laptop bags, at no additional cost.
Air Canada defended the move, describing it as a “competitive response” to similar policies already implemented by other Canadian airlines, such as WestJet and Flair Airlines. WestJet introduced its “UltraBasic” tier earlier this year, eliminating free carry-on baggage and charging for seat selection, while Flair Airlines has long followed a similar pricing model.
Minister Anand expressed her disappointment, highlighting the financial burden on Canadians during challenging economic times. “This is not acceptable at a time when Canadians’ pocketbooks are hurting,” she said, adding that she intends to address these issues directly with the airlines.
Anand pointed to the federal government’s unique relationship with Air Canada, which received a $6 billion bailout during the COVID-19 pandemic, including $500 million in government-purchased equity. She suggested this relationship could be leveraged to influence airline policies and promised further announcements soon.
The meeting with airline executives will also focus on broader issues in the industry, including a lack of competition, quality of service, and the proliferation of what critics call “junk fees.” Anand emphasized the need for stronger air passenger rights, noting a backlog of more than 80,000 complaints at the Canadian Transportation Agency (CTA). Despite the Liberal government’s 2019 air passenger bill of rights and its 2023 budget measures to strengthen consumer protections, promised updates remain delayed.
“I am pushing for an accelerated timeline,” Anand said, underscoring her commitment to ensuring passengers’ rights are prioritized. The Transport Minister also reiterated her goal of fostering greater competition in Canada’s airline industry to address service concerns and rising fees.
