Thinking of going on strike? Here’s how to budget for your union’s next job action

Air Canada flight attendants strike outside Montreal–Trudeau International Airport in Montreal, Saturday, Aug. 16, 2025. THE CANADIAN PRESS/Graham Hughes

Air Canada workers did it. So did Canada Post staff and Canadian National Railway Co. labourers, too.

Over the last few years, scores of Canadians have walked off the job in hopes of landing higher pay and better working conditions.

While striking often gives more leverage at the bargaining table, it also comes with a sacrifice: an interruption in pay that can stretch on for days or weeks and in the worst cases, months or years.

Experts say navigating any interruption in wages takes plenty of planning that should begin long before your union heads for the picket line.

“When we’re a year out from bargaining, it’s time to put a little bit of savings away just in case,” said Marty Warren, national director of the United Steelworkers union.

While no one can predict whether a strike will happen or how long one will last, the more you can sock away, the better position you’ll be in to weather the situation.

To help build up your savings, Warren has advised union members in the past to work some overtime, if it’s available, and rethink that new car, cottage, boat or home.

“Now, obviously, if you have one car and it goes, you’re going to have to replace it, but some of those bigger purchases, you should hold off, just so you’re in a position to vote with your heart (if your company asks if you are willing to strike),” he said.

“Then, your vote isn’t influenced because you just purchased that brand new truck six months ago and you got a car payment to make.”

If you’re saving for any of those goals but they’re not imminent, workers can reallocate money toward helping them through a strike, said Mark Kalinowski, a partnership and education specialist with the Credit Counseling Society.

“People often don’t see one savings goal as being transferable to another savings goal,” he said. “Well, right now is not your vacation. Right now is the time that we have to make sure the mortgage gets paid, so be open to changing what your immediate goal is and we’ll save up for a vacation later.”

He feels the best way to build up a fund you can dip into during a strike is to set aside some money each time you get paid, ideally in a Tax-Free Savings Account.

If you don’t think you are able to do that, consider “pushing the fluff out of your life,” even if it’s just for long enough to build up a strike fund, he said.

“Everyone loves a cup of coffee, but if you’re not going to work, can you make it at home? It saves you $3 a day,” he said.

In the COVID-19 pandemic, Kalinowski and his wife calculated how much money they could live on, if they just covered the basics like food, utilities and costs for housing and children. He said they were shocked by how little they needed to get by and encourage others to do the same exercise if they are worried about a strike.

While Kalinowski found a lot of things he could cut from his spending, he acknowledges some people have recurring payments from mortgages, loans, credit cards and student debt.

He recommends people with these payments pending reach out to their lenders as soon as possible to find out if they can get any extensions or relief in the event of a looming strike.

“We find normally when you approach, especially banks around mortgages, they don’t want to own your house,” Warren said. “They always find a way to work with us or our members, quite frankly, to bounce the payment to the end or to make half a payment.”

Some lenders will also let you skip a payment.

While workers won’t be getting their salary and aren’t eligible for employment insurance while on strike, Warren said there is often some cash they can access.

Usually, unions offer strike pay but it often comes with conditions. Workers typically only get it if they picket or help with other job actions and sometimes, it doesn’t kick in as soon as a strike begins.

When they do receive strike pay, Warren said, “There’s no doubt about it, it doesn’t equal your wages.”

“It’s just kind of to keep you moving forward,” he said.

If you find yourself facing extreme circumstances, many unions set up hardship committees to disperse additional funds to their members most in need.

Recipients typically have to demonstrate an extraordinary need when applying for the money. For example, if you need an expensive drug not covered by your provincial health care, a hardship committee might give you some funds, Warren said.

Unions also encourage workers to take on gig work, if they are struggling to get by.

“If you’re that kind of skilled person, you can paint, you can build a deck,” said Warren.

While strikes can stretch on for long periods of time, most wrap up rather quickly, he said.

When they do, workers don’t get backpay for the days they were on the picket line, so they usually need to make their focus recovering from their job action and preparing for the next time their union bargains.

For some people, that could mean continuing to live frugally or delaying their big purchases. Others might find overtime is the answer.

“A person may say I’m going to grab a couple shifts or a shift a week for the next five weeks to kind of get caught up on some of my bills,” Warren said.

“It’s just that slow climb out of it. There’s nothing easy about going on strike, and it takes a while to kind of get you back up and going.”

This report by The Canadian Press was first published Oct. 30, 2025.

Tara Deschamps, The Canadian Press