Tag

Passenger Compensation

All articles tagged with #passenger compensation

transportation4 months ago

US government cancels plans for airline passenger compensation

The U.S. Department of Transportation has decided not to proceed with a proposed rule that would have required airlines to offer cash compensation to passengers for delays and cancellations within their control, citing concerns over regulatory burdens and consumer protection. Airlines opposed the rule, arguing it would increase ticket prices and reduce accessibility, and the DOT is also reviewing other regulations related to flight cancellations and fee disclosures.

aviation-news1 year ago

"Singapore Airlines Turbulence Incident Highlights Seat Belt Safety"

A 73-year-old British man died and over 100 passengers were injured during a severe turbulence incident on a Singapore Airlines flight from London to Singapore. The Montreal Convention allows injured passengers to seek compensation up to $170,000, but claims could reach higher amounts depending on the investigation's outcome. Singapore Airlines has since changed its policy to not serve meals when the seatbelt light is on.

travel1 year ago

"Delta Flight Forced to Return to Amsterdam After Midair Maggot Shower"

A Delta Air Lines flight from Amsterdam to Detroit was forced to turn around after a suitcase containing rotten fish in the overhead bin broke open, causing maggots to fall onto passengers. The owner of the suitcase was detained, and affected passengers were compensated with 8,000 air miles, hotel accommodations, and meal vouchers. The airline apologized for the incident and stated that the aircraft was removed from service for cleaning.

business2 years ago

Southwest Airlines Fined $140 Million for Holiday Flight Chaos

Southwest Airlines has agreed to pay a $35 million fine as part of a $140 million settlement with the U.S. Department of Transportation to resolve a federal investigation into the airline's meltdown in December 2022, which resulted in the cancellation of nearly 17,000 flights and stranded over 2 million travelers during the holiday season. The majority of the settlement will be used to compensate future passengers, serving as an incentive for Southwest to avoid similar incidents in the future. The fine is the largest ever imposed by the government on an airline for violating consumer protection laws.

transportation2 years ago

Southwest Airlines Settles $140M Fine with DOT for 2022 Holiday Meltdown

Southwest Airlines has reached a $140 million settlement with the U.S. Department of Transportation (DOT) following the chaotic holiday season in 2022 when nearly 17,000 flights were canceled, leaving over two million travelers stranded. The settlement includes a $35 million fine, the largest in DOT history, which will primarily be used to compensate affected passengers. The DOT found that Southwest violated consumer protection laws by failing to provide adequate customer service assistance and prompt flight status notifications. Southwest will also receive credit for compensation already provided and will distribute $90 million in vouchers to future travelers.

business2 years ago

Southwest Airlines Slapped with $140 Million Fine for Christmas Meltdown

The Transportation Department has fined Southwest Airlines $140 million for multiple violations of airline consumer protections during its Christmas and New Year's meltdown last year. The fine is 30 times larger than any previous penalty issued by the department. Southwest has also been ordered to establish a $90 million fund to compensate passengers affected by future delays. The airline faced significant disruptions due to freezing weather and a staff scheduling system issue. Southwest disputes the department's legal conclusions but has agreed to accept the fine. The compensation fund will provide $75 vouchers to customers who experience significant delays or cancellations within Southwest's control.

transportation2 years ago

Southwest Airlines Slapped with $140 Million Fine for Holiday Meltdown

Southwest Airlines has been ordered by the U.S. Transportation Department to pay a $140 million civil penalty for its operational failures during the 2022 holidays, the largest penalty ever levied for consumer protection violations. The airline canceled 16,900 flights, stranding over 2 million passengers, while other airlines recovered relatively quickly from a major winter storm. As part of the consent order, Southwest is required to establish a $90 million compensation system for future passengers affected by significant delays and cancellations, bringing the total payout for the holiday meltdown to over $750 million.

travel2 years ago

Cruise Cancellations and Delays Plague Royal Caribbean and Carnival Ships

Royal Caribbean Cruise Lines has cancelled a 7-day cruise on the Radiance of the Seas ship departing from Seward, Alaska, due to mechanical issues with the vessel's propulsion system. Passengers will receive a full refund, and those who booked air travel through the cruise line will have their flights rebooked or receive a credit. Passengers can stay on the ship until September 3 and will receive complementary services. The impact on future sailings is unknown.

transportation2 years ago

DOT Slaps American Airlines with Record Fine for Tarmac Delays

The Department of Transportation has issued a $4.1 million fine to American Airlines, the largest-ever penalty for tarmac delays, affecting over 5,800 passengers on 43 flights between 2018 and 2021. The longest delay lasted over six hours, with the DOT alleging that American lacked sufficient resources to handle the flights. Federal rules allow a maximum of three hours for domestic flights and four hours for international flights without the opportunity for passengers to disembark. American Airlines claims the delays were due to exceptional weather events and has invested in technology to improve flight handling in severe weather. The airline will pay $2.05 million to the government and has credited the other half as passenger compensation.

business2 years ago

United Airlines CEO discusses air travel challenges and policies.

United Airlines CEO, Scott Kirby, discussed airfares, delays, and passenger compensation during an interview with CNBC. Kirby stated that airfares are likely to increase as demand for travel returns, but he also emphasized the importance of providing good customer service and compensating passengers for delays and cancellations. He also discussed the challenges of managing the airline's operations during the pandemic and the need for continued government support for the industry.

transportation2 years ago

Biden Administration Proposes Airline Compensation for Stranded Passengers.

The Biden administration plans to propose new regulations that would require airlines to compensate passengers for significant flight delays or cancellations caused by the airlines. The regulations would also require airlines to cover expenses such as overnight hotel accommodations and transportation during such disruptions. The proposed rules are similar to passenger-protection measures required in the European Union.

travel2 years ago

Biden urges airlines to provide compensation for flight disruptions.

The Biden administration is proposing a new rule that would require airlines to offer more generous compensation to passengers for delayed or canceled flights, including meals, accommodations, and rebooking. The Transportation Department will also launch an expanded Airline Customer Service Dashboard to show which airlines offer compensation beyond refunds or amenities. The White House notes that virtually no airlines offer such compensation. The announcement is part of the administration's efforts to improve the flying experience ahead of a busy summer travel season.