Wednesday 28 August 2024

Airline customers to be compensated with cash for flight delays or cancellations

Australian Airlines may soon be required to compensate customers for flight delays and cancellations, as the federal government introduces a new aviation ombudsman. The reforms, detailed in a white paper, reflect the Albanese government's long-term vision for the aviation industry. Transport Minister Catherine King states that these changes will enhance customers' rights when interacting with airlines and airports.

"Many Australians have been left high and dry when flights are cancelled or disrupted, and obtaining a refund or contacting a company representative is excessively complex," she commented.

"Customers rightfully deserve their money back if it is due to them. No exceptions.

"Now is the time for decisive action to safeguard consumer rights with an Aviation Industry Ombudsman Scheme and a Charter of Customer Rights."

With the proposed reforms, airlines and airports will be required to justify flight delays. Currently, airlines are not obligated to provide compensation for delayed or cancelled flights. However, the ombudsman will specify the conditions under which airlines must issue a refund in cash or the original payment method, instead of a travel voucher.

The overhaul will also address the needs of travelers with disabilities, focusing on improving wheelchair access. King highlights the substandard treatment many individuals have received from airlines and airports.

"Air travel is essential for many Australians, yet those with disabilities often face subpar service, inaccessible designs, and restrictive rules.

"The way airlines and airports treat people with disabilities is unacceptable.

"Individuals have been left stranded on aircraft, compelled to return to their origin, or have endured poor treatment due to inadequate facilities at their destinations."

The government aims to have the scheme operational by 2026

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