Bilingualism costs seen as equal at rival carriers

Air Canada isn't at a huge cost disadvantage to rival WestJet Airlines Ltd. since both carriers provide bilingual services, albeit a slimmed-down version at the Western-based company, analysts said yesterday.

While Montreal-based Air Canada leads the way in having employees fluent in French and English, WestJet of Calgary beefed up its bilingual offerings -- including its website -- when it expanded into Quebec's largest city last year.

The bilingualism issue arose on the weekend as Conservative Leader Stephen Harper, during the federal election campaign, defended his party's plans to repeal the Air Canada Public Participation Act.

That act, originating in the late 1980s, ensures the former Crown corporation's head office remains in Montreal and guarantees service "in either official language."

Industry analysts said there are numerous other factors that dwarf the costs associated with providing bilingual tickets, pamphlets, manuals, quarterly reports and customer service agents at call centres.

From jet fuel costs to ticket prices and maintenance expenses to landing fees, there are much more pressing concerns than calculating the costs of providing French services in primarily English-speaking regions such as the West, they said.

"The costs of bilingualism aren't even on the radar screen," said Nadi Tadros, an analyst with Desjardins Securities Inc. in Toronto. "It's too minute to actually try and work out the cost advantages or disadvantages."

Mr. Tadros said whether a mechanic is unilingual or bilingual is irrelevant to the wage costs of the airlines, but WestJet's payroll has lower-paid, non-union workers compared with Air Canada's longer-serving and higher-paid unionized work force.

Air Canada prides itself on having flight attendants fluent in French and English aboard the bulk of its routes, Air Canada spokeswoman Isabelle Arthur said from Montreal.

As well, the airline has been trying to recruit staff with other language skills. "We've been looking for flight attendants speaking Mandarin, Cantonese, Hindi or Punjabi. For us, offering service in the language of our customers is very important," she said.

In most instances, Air Canada has bilingual staff on duty across Western Canada, Ms. Arthur added.

By contrast, WestJet spokeswoman Siohban Vinish said safety warnings to passengers at the beginning of WestJet flights are often played on tape in French in Western Canada, where flight attendants sometimes speak only English.

Ms. Vinish said since WestJet has been flying into New Brunswick for years, where French services are in demand, the airline is sensitive to the needs of bilingual passengers.

Cameron Doerksen, an analyst with Dlouhy Merchant Group in Montreal, said it tends to be easier for WestJet than Air Canada to schedule employees, although the differences are relatively minor since both airlines ensure that bilingual flight attendants and pilots work the shifts into Montreal.

Transport Canada rules insist on certain bilingual services in Canada's airline industry, as do provisions of the Official Languages Act.

"It makes sense from a business point of view to offer services in both languages," Mr. Doerksen said. "Air Canada isn't at a huge disadvantage, nor is WestJet at a huge advantage from a cost point of view on bilingualism."

Scrapping the Air Canada Public Participation Act probably won't mean much to Air Canada's operations.

The act requires that the head office stay in Montreal, and that would likely remain the case, regardless of whether it's enshrined in legislation, Mr. Doerksen said.

But foreign ownership limits on Air Canada, currently at 25 per cent, could be eased in future, he added.

Ian Doig, publisher of energy newsletter Doig's Digest, pointed out that the Conservatives also support repealing the Petro-Canada Public Participation Act, which ensures that Petrocan keeps its head office in Calgary.

Even if that act is eliminated, it's hard to imagine Petrocan moving its headquarters, he said. Callers to Petrocan's head office in Canada's oil capital must have the option of speaking to someone in either French or English, under the act.

"Petrocan still asks me from time to time whether I want French copies of their reports," Mr. Doig said. "But I'm focused on the company's long-term goals for oil and gas."