The International Air Transport Association (Iata) has opposed US President Joe Biden’s planned directive that will see carriers provide additional financial compensation to travellers, above the usual reimbursements for flight delays and cancellation.
“Airlines work hard to get their passengers to their destinations on time and do their best to minimise the impacts of any delays. Airlines already have financial incentives to get their passengers to their destination as planned,” said Iata Director General Willie Walsh.
The Biden administration has said it will introduce a new rule that will require airlines to provide cash payments instead of refunds for significant travel disruptions.
Walsh said managing delays and cancellations is costly for airlines noting that the added layer of expense will not create a new incentive but will have to be recouped, which is likely to have an impact on ticket prices.
The official said the regulation could also raise unrealistic expectations among travellers and that most situations would not be covered by this regulation as bad weather is responsible for the bulk of air travel delays and flight cancellations.
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Staff shortage
Iata, whose members account for 83 percent of the world’s air traffic, says shortages of air traffic controller played a role in last year’s delays and are also an issue in 2023.
“Runway closures and equipment failures also contribute to delays and cancellations. Additionally, supply chain issues in the aircraft manufacturing and support sectors have resulted in aircraft delivery delays and parts shortages over which airlines have little or no control but which impact reliability,” says Iata.
Airlines normally offer meals or cash vouchers to customers during extended delays, with other carriers offering hotel accommodation.
Walsh said experience shows that punitive regulations like this have no impact on the level of flight delays and cancellations.
“Aviation is a highly integrated activity involving a number of different partners, each of whom has a vital role in ensuring the smooth operation of the air transport system,” he said. Instead of singling out airlines as this proposal most assuredly does, the Biden administration should be working toward ensuring a fully funded Federal Aviation Authority (FAA),” Walsh added.