ATAC president outlines 2020 vision

As the Air Transport Association of Canada (ATAC) turns the corner into 2020, president John McKenna has his sights set on several key issues impacting his nearly 200 operator and associate members.

“People are very concerned about a number of things,” McKenna told Skies. “The implementation of passenger protection rights, for one.”

On July 15, airline passengers assumed new rights under the Canadian Transportation Agency’s (CTA’s) Air Passenger Protection Regulations. A second phase to the regulatory package took effect on Dec. 15. In total, the changes mean that airlines must now provide passengers with certain standards of treatment and, in some cases, compensation.

The new regulations provide for clearer communication with passengers about flight delays, cancellations, denied boarding, lost or damaged bags, and the seating of children under age 14.

In addition, they set out minimum compensation levels for delays that are under airline control and not related to safety. For example, large airlines must pay each passenger $1,000 for delays of nine hours or more. Smaller airlines will be on the hook for $500 for a similar delay.

Speaking at ATAC’s annual conference in Montreal on Nov. 20, McKenna said it’s important to ensure the new regs are balanced and mindful of the already high costs incurred by airlines in Canada.

“It’s important that it doesn’t go out of control. In Europe, it’s the second or third highest cost for an airline, passenger compensation. At what point does it become a windfall?”

Another topic that is gaining momentum is the issue of a pilot’s age – in other words, how old is too old to fly commercially?

“Especially considering we’re short of pilots, why do you want to obligate people to stop flying at age 65?” asked McKenna.

“We are less strict than any other major jurisdiction in the world. Canada doesn’t have an age limit – but companies impose them because they want to fly to jurisdictions where they do have those limits. For domestic flying it’s not a legal problem, but for international transport [including to the U.S.] it’s complicated.”

McKenna said ATAC is hoping governments around the world will do away with a mandatory retirement age and instead will impose more stringent medical testing, for example.

“All I’m saying is don’t discriminate based on age; discriminate based on health issues [that affect safety]. We’re going to be talking to pilots’ unions about that and working with the government, too.”

The federal budget presented on March 19, 2019, included a reference to the possibility of privatizing CATSA, the Canadian Air Transport Security Authority. It is currently a Crown corporation that was founded to manage passenger security following the terrorist attacks of September 2001. Its operation was to be funded by revenues obtained from the Air Travellers Security Charge (ATSC), a sliding fee levied on all passengers with the amount dependent on the length of their journey.

However, studies have shown that while screening demands are increasing, CATSA has been unable to meet those challenges with its current funding model. While Canadian travellers are paying one of the highest aviation security fees in the world, security screening lines are only getting longer.

Transport Minister Marc Garneau has compared the plan to privatize CATSA as similar to the creation of air traffic control service provider Nav Canada in 1996.

But airline associations – and operators themselves – are counselling caution, advising government to move slowly on CATSA reform. The creation of Nav Canada involved almost two years of negotiations among all stakeholders, they said.

While ATAC supports CATSA reform in principle, McKenna said the association fears increased costs to passengers. As well, it takes issue with any attempt to sell the screening agency.

“The government did not pay for CATSA; the passengers have paid for its capital assets several times over [through the ATSC] since it was founded,” he commented. “Now, the government is trying to sell it for book value. They’ve said publicly around $500 million. The only acceptable price for CATSA is $1, because they didn’t pay for it. There are issues there and we’re concerned by that.”

One year after the release of new Canadian flight and duty time regulations, McKenna said industry is still waiting for government to produce the guidance material that will spell out how operators must comply with the new rules.

“They don’t want to delay the implementation so will we be working by exemptions? Normally the guidance material is out when the rules come out.”

He said ATAC and other industry associations are focused on working with the government to help produce the proper material and then developing the related Fatigue Risk Management System (FRMS), which is a more flexible option that allows operators to schedule flight hours based on their own circumstances, providing they can demonstrate safety will not be affected.

Meanwhile, ATAC remains concerned that the new fatigue regulations will exacerbate the existing pilot shortage.

“To offer the same level of service [and meet the new fatigue regs] will require 25 per cent more pilots. We don’t have them,” said McKenna.

Flight training

To generate more new pilots, ATAC is also focused on making changes to ab initio flight training in Canada.

“We are producing a study on flight training capacity in Canada, and pressuring the government to review flight training standards, which are very old. We need more simulator time; we need for government to recognize foreign licences more easily.”

McKenna said he’d like to see incentives, fiscal or otherwise, for pilots to remain flight instructors or return to that career after retirement.

“We are trying to get the government to open pathways to hire older pilots who are retired, who may come back and teach. We’re asking them to help us develop the tools to attract experienced people to teaching.”

The association has also tabled a proposal that offers a funding guarantee for people who are learning to fly.

“We’re asking the government to act as a backer for students to get loans to learn to fly,” explained McKenna. “ATAC is proposing to be in charge of that process – it would be a pilot selection system governed by ATAC. Once they pass their medical and the selection process, they can apply for this program of loan guarantee.”

He added that ATAC would be involved in the cadet selection and then overseeing the training and approving installments of the training payments going forward, based on a student’s progress.

“We want to be part of the solution.”

Finally, the association has identified the shortage of qualified aircraft maintenance engineers (AMEs) as another priority.

“That’s a whole different problem. It’s not a cost of training issue – it’s about attracting people to the industry. We have to look at what’s being done elsewhere and we are deciding how to address it now.”

As if all of these issues aren’t enough, McKenna said 2020 will be “a year of self-examination” as the association evaluates everything from its revenue streams to fee structures and planned activities.

One thing that will still go ahead is the annual Aviation Day on the Hill event, set for May 5 in Ottawa. Representatives from other aviation associations will join McKenna and other ATAC executives in a combined effort to educate government ministers about the many critical issues facing the industry.

From the sounds of it, one day might not be enough.