Ottawa: Aiming to create good, middle-class jobs for Canadians and building an economy, the federal government approved WestJet Airlines’ takeover of Sunwing Airlines and Sunwing Vacations. It is a major consolidation of aviation market in the Canada following a rough year for travel after Covid-19 pandemic.
Proposed last March, the takeover will see Calgary-based WestJet bolster its vacation package offerings, Minister of Transport, the Omar Alghabra said while, announcing that following Transport Canada’s assessment of the public interest, which incorporated the findings of the Commissioner of Competition, and consultations with Canadians, consumer protection groups, unions and industry.
The decision to approve this acquisition was not taken lightly, especially considering the delays and bottlenecks experienced by travellers last summer, as well as the customer service and communications challenges by Sunwing during the recent holiday season, a government statement said.
Given the current air sector landscape, it was important to ensure that the final agreement offered the best possible outcome for Canadians. The acquisition will help maintain the stability of the sector as Sunwing will continue to provide more affordable vacation packages to Canadians, while being financially supported by WestJet, officials said.
The acquisition will also result in enforceable terms and conditions intended to protect the interests of travellers including increasing regional connectivity and bolstering baggage handling for better passenger experience.