Air Canada Expands Goodwill Policy to Include Accommodation, Out-of-Pocket Expenses

In light of the recent labour disruption, Air Canada has updated its goodwill policy to exceptionally include accommodations and out-of-pocket expenses for passengers who were affected by flight cancellations while away from home.

This update comes in addition to the airline’s flexible rebooking policy that was introduced last week for anyone looking to change their travel plans, and it also comes in addition to the existing coverage of transportation-related expenses.

Air Canada Expands Goodwill Policy to Include Accommodation, Out-of-Pocket Expenses

The recent labour disruption at Air Canada has had a significant effect on passengers during one of the busiest travel periods of the year.

According to data from Cirium, an aviation analytics company, there has been a total of 3,169 flight cancellations between August 15 and August 22, 2025 at the time of writing, out of a total of 6,732 flights scheduled during that time.

Today, Air Canada expanded its goodwill policy to include accommodation and out-of-pocket expenses for passengers who are away from home.

Any passengers whose travel plans have been affected by flight cancellations while away from home during the dispute can file a claim with Air Canada to have their expenses covered through Air Canada’s goodwill policy with the following conditions:

• Your travel was disrupted (cancelled or delayed) between August 15 and August 23, 2025 inclusive
• You incurred reasonable expenses for hotel stays, meals, ground transportation, or other costs
• You have receipts for your expenses, and submit them through Air Canada’s online portal

If you’re expenses are eligible for reimbursement, it may take four to six weeks for the claim to be processed.

As a reminder, Air Canada also has a flexible rebooking policy that was put in place during the labour disruption.

If you booked alternative transportation yourself because Air Canada was unable to rebook you, you’re eligible to have your additional expenses covered with the following conditions:

• You must have received an email from Air Canada stating that the airline was unable to rebook you, or you were offered alternative flight options that depart more than five days from your original scheduled departure
• You must have purchased a flight on a different airline in the same or lower cabin class to your original flight
• You can also claim for other transportation methods to get between your original origin and destination, such as buses, ferries, cars, etc.
• You must have booked the most reasonable and economical option(s) with your alternative travel, ensuring that you reach your destination as soon as possible

More information about Air Canada’s flexible rebooking and goodwill policy, as well as updates about the airline’s return to full capacity, can be found on the Air Canada website.

Mark Nasr, Air Canada’s Executive Vice President and Chief Operations Officer, said this about the effect the labour disruption has had on passengers:

Air Canada’s 40,000 coworkers, with their exceptional commitment and expertise, have allowed us to restore operations ahead of plan. We now expect to be operating very close to our normal schedule tomorrow. We deeply apologize to all customers whose travel plans were disrupted, and we’re committed to making things right for all customers — particularly those who were stranded during their trip. Earlier this week, we put in place a special commitment to reimburse out-of-pocket transportation costs, including on other airlines, rail, ground or ferries. Today, we are taking another step forward, delivering with our policies to make things right. This updated plan includes reimbursement for reasonable accommodation, meals, necessary transportation and other costs,” said Mark Nasr, Executive Vice President and Chief Operations Officer at Air Canada.

Air Canada expects to be close to its full network schedule by Friday, August 22, 2025.

Conclusion

Air Canada has expanded its goodwill policy to include accommodation and out-of-pocket expenses incurred by travellers who are away from home. Eligible passengers can file a claim on the Air Canada website.

Full details about Air Canada’s goodwill policy for passengers impacted by the labour disruption can be found on the Air Canada website.