The US is axing plans to require airlines to pay compensation for flight disruptions they cause.
The move comes as the New Zealand government is looking at what other countries are doing to improve passenger protection, and Australia has moved to toughen rules covering delays and cancellations. The US Transportation Department says it’s dumping plans introduced under former President Joe Biden on writing rules that require airlines to pay USD200-USD300 for domestic delays of at least three hours and up to USD775 for longer delays. The DoT says the plans would have put ‘unnecessary regulatory burdens’ on airlines, Reuters reports. Airlines in the US must refund passengers for cancelled flights, but not for delayed flights. The European Union and Britain have strict airline delay compensation rules. The Trump administration is also winding back some rules protecting passengers using wheelchairs introduced under Biden.
In Oct, NZ’s Associate Transport Minister James Meager said he’d like passenger protection strengthened in some way, whether it was a voluntary code or regulation. However, he is wary of imposing more cost on airlines, which would flow through to higher ticket prices. The Ministry of Transport is now studying protection schemes overseas.
Consumer NZ says Europe has gold standard consumer protections for disrupted flights, and it’s disappointing similar proposals are being walked back in the US. “The more jurisdictions that improve passengers’ rights, the better this will be for our campaign to strengthen rights for New Zealanders,’’ it says. Consumer is eagerly awaiting an update on NZ’s plans. “In New Zealand, the information that airlines provide to disrupted passengers is not up to scratch. We believe change is long overdue and we will continue to advocate for this.’’
The Aussie government has promised to guarantee consumers’ rights to refunds, food and hotels when flights are delayed or cancelled.
