Business travel returning MONTREAL, May 18 (Reuters) - Air Canada sees higher-margin business travel coming "quite close" to pre-pandemic levels by as early as September, in the latest encouraging sign for the once hard-hit sector, a top executive told Reuters.
Globally, business travel has lagged leisure in bouncing back from a COVID-19-induced slump, but airlines say it is now rebounding in North America as offices reopen and COVID restrictions ease.
Corporate travel is important for airlines because of demand from frequent flyers and appetite for higher-margin premium fares.
Air Canada said earlier this year it expects business travel to reach 40% below 2019 levels by June, and return to 75% to 80% of pre-pandemic levels by 2023.
We’re actually very encouraged," Air Canada Chief Commercial Officer Lucie Guillemette said in an interview on Tuesday.
"We’re certainly not close to 2019 levels yet, but we are thinking that, based on what we’re seeing, most probably by the time we hit Labor Day, or get into 2023 it should be quite close."
Guillemette also said transborder business travel could especially benefit if the United States were to end COVID testing requirements for arrivals, since those passengers often take shorter trips.