Opinion: Air Canada and Loblaws had some of Canada's worst PR mistakes this year

Dec 26 2023, 2:00 pm

A company’s PR crisis is almost always due to toxic corporate culture, poor counsel, ego, or a lack of knowledge about the importance of incorporating PR into the company or organization’s business priorities.

How one manages a crisis is often equally as important as the crisis itself as it illustrates the brand’s values, transparency, and dedication to making things right.

This past year has been a challenging one, with financial, housing, and health concerns. When times are tough, there tend to be more incidents affecting brand reputation as people are struggling and are generally less tolerant around issues that trouble their already complex lives.

Here, I break down the biggest Canadian PR blunders of the year.

Loblaws and negative attention that seemed endless

Loblaw

Loblaw Companies Limited

One of this year’s largest crisis situations involved a series of incidents with the Loblaws brand.

Fresh off the heels of ending its price freeze promotion, and the poor communications, and lack of accountability that followed, Loblaws’ reputation continued downward with multiple incidents that had Canadians fed up.

After a March parliamentary committee probing, Loblaws former CEO Galen Weston told reporters how much money the company loses on every breast of chicken sold. Once again, leadership focused on a successful business’ problems instead of empathizing with the customers they serve, some of whom are now relying on food banks for the first time in their lives.

In the summer of 2023, Loblaws reported a profit of $508 million for its second quarter, an increase of 31.3%, year-over-year.

Later in the year came what many saw as price gouging. As Canadians struggled financially, Loblaws-owned stores were “outed” online while selling the same product at one Vancouver store for a much higher price than at another. Social media didn’t rest with examples of these incidents and disgusted customer reactions.

In the spring, Loblaws CEO Galen Weston stepped down as president and CEO. This was one smart decision in a series of moves that continued to illustrate how out of touch the company seemed with the average Canadian.

The Canadian government and healthcare

hospital

VILevi/Shutterstock

Confidence in Canada’s healthcare system has been degrading since the pandemic hit.

Initially, Canadians seemed understanding, considering the intense stress and workload resulting from COVID-19 and its impact on healthcare workers. This was an unprecedented experience.

Yet, as 2023 was upon us, Canadians were losing confidence and patience. Communications came late, lacked detail, and problems continued to expand and diversify despite Prime Minister Justin Trudeau’s February pledge of billions of dollars to fix the healthcare system. Provinces did not feel it was enough and for Canadians needing healthcare now, the fix seemed lightyears away.

Lack of access to healthcare, and unreasonable wait times

This issue started to draw media attention in late 2022 but by the time the champagne was poured to celebrate 2023, the tone around healthcare was less than celebratory. News stories and social media posts highlighted patients waiting countless hours to see an ER doctor and shockingly long lines at Children’s Hospital emergency rooms were common. In May, BC’s Fraser Health finally added online wait times for hospitals, providing a basic level of communication after months of minimal action. Stories of Canadians who could not find a family doctor became common. Detailed and consistent communication from government, with solutions-based content, was minimal and did little to reassure Canadians.

Patients being sent south for care

Due to a lack of staff, and an overwhelmed system, the government started sending patients to the United States for vital care. In May The Globe and Mail reported that up to 50 patients a week will be sent south for care, or about 4,800 over the next two years.

Although this provided a solution for patients who had often suffered through multiple treatment cancellations, it also intensified the breakdown in confidence Canadians have in their country’s healthcare. After years of staff shortages, in June, the federal government finally announced express entry into Canada for healthcare workers.

Solutions have been peppered into the mix, and communicated to Canadians, but considering the importance of solid healthcare, action seemed slow and solutions minimal. As with Canada’s thousands of anticipated drug-related deaths in 2023, the seriousness of a life-and-death issue did not seem to be resonating with our country’s leadership.

Air Canada’s ongoing customer failures

air canada

Vytautas Kielaitis/Shutterstock

Air Canada is no stranger to customer complaints that make the rounds publicly. This year, a lack of accessibility, and accommodating those with disabilities, became a full-blown crisis for the airline.

When a Canadian passenger had to drag himself from the plane, with no support from company staff, Air Canada responded with detailed, and apologetic communication, admitting this wrongdoing, while later, the company CEO outlined new measures to improve the Air Canada travel experience for those with disabilities.

In the end, the company did all the right things. They took full accountability, offered a genuine apology, and outlined details on what measures would be taken to ensure that those with a disability would not experience a lack of accessibility or inadequate support while flying with the airline. These measures included the hiring of a new director of accessibility.

Yet, it was revealed that a Vancouver man with spastic quad cerebral palsy was injured this year when dropped by an Air Canada employee while exiting the airplane. Other travellers spoke to media about having their wheelchair left behind and having their ventilator disconnected during a wheelchair transfer. 

Although one of the media’s most important roles is keeping those in power accountable, it should not require a media spotlight on multiple accessibility failures to push a company into doing what is right.

Adequate communication and actions came after multiple travellers with disabilities spoke publicly about dehumanizing experiences while travelling with Air Canada.

Better late than never? Air Canada’s PR problems seem to result from a culture of poor customer service and communication that once again had the company blasted publicly in September by reality star Nick Viall for what he described as terrible customer service and poor treatment due to his pregnant wife as they attempted to fly home from Canada.

The question that remains is whether Air Canada addresses issues soon enough and whether too many unhappy customers throughout 2023, and before, has the airline’s reputation tarnished beyond quick repair.

How can companies improve their reputations?

The Oxford Dictionary defines reputation as “the beliefs or opinions that are generally held about someone or something” and while PR can’t fix poor company culture or a broken system, it can improve how people feel about your brand.

Solid counsel on prompt, accountable, and solutions-oriented communications provides you with a safety boat when the waters are rough.

Rachel ThextonRachel Thexton

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