Details of the agreement with the workers represented by the International Brotherhood of Teamsters were not available, pending ratification and approval by the Air Canada board of directors.
The tentative deal follows a 10-year agreement with Air Canada's pilots reached last year.
That deal included a large signing bonus, wage increases of more than 20 per cent over the life of the contract and an improved profit-sharing formula.
The agreement by the pilots came despite Air Canada's troubled history with its unions.
It's last round of labour talks included a 12-hour illegal walkout by baggage handlers and ground staff that disrupted flights and the tabling of a back-to-work bill in Parliament before an arbitrator sided with the airline.
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