The International Air Transport Association (IATA) has hit out at the US Department of Transportation’s new passenger compensation proposals.
The US administration has proposed mandatory financial compensation for travellers for out of pocket expenses during long flight delays and cancelations. IATA says the move will raise the overall cost of air travel.
The air transport body says the 10 largest US carriers already offer meals or cash vouchers to customers during extended delays with nine of them also offer complimentary hotel accommodations for overnight cancellations. However, this is not currently mandatory.
Willie Walsh, IATA’s Director General: “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. Managing delays and cancellations is very costly for airlines.
“The added layer of expense that this regulation will impose will not create a new incentive, but it will have to be recouped on ticket prices.”
