Qantas flight credit: Airline makes staggering backdown in a victory for every customer owed refunds or credit

Qantas customers who are still entitled to flight refunds from the airline will no longer have to claim them at the end of December, following a massive airline pushback.

The airline’s controversial deadline threatened to strip passengers of $370 million worth of flight credits, sparking an uproar.

Qantas’ outgoing CEO Alan Joyce faced fierce criticism over the controversy at a Senate hearing this week.

But it was reported on Thursday that the airline had reversed the expiration date decision and scrapped the limit following growing public outcry.

The massive backlog of travel credits created during the Covid pandemic, when flights were canceled worldwide due to widespread border closures.

The rollback will allow customers whose flights are canceled before October 2021 to keep them for refund indefinitely.

But those who redeemed them for flight credits have yet to use them to book a flight before the end of the year, reports the Sydney Morning Herald.

Customers who have booked flights through a travel agent can also claim refunds, and Jetstar passengers with flight credits can use them indefinitely.

It is the airline’s Fourth Amendment to its flight refund policy in the wake of the pandemic that has wreaked havoc on the airline industry.

Qantas is currently facing a class action lawsuit from passengers whose travel plans fell through and claim they have been unable to obtain refunds.

During the Senate hearing on the cost of living, Mr. Joyce was summoned to be questioned about the airline’s operations.

It was discovered that there is an additional $100 million in flight refunds and credits outstanding for Jetstar passengers, on top of the $370 million owed to Qantas customers.

An additional $50 to $100 million is owed in foreign bookings, the hearing said.

Daily Mail Australia has asked Qantas for comment.

The move comes after Australia’s consumer watchdog revealed they had taken legal action against the airline over allegations that the national carrier had advertised tickets for 8,000 flights that had already been cancelled.

The Australian Competition and Consumer Commission is taking proceedings in the Federal Court alleging that Qantas engaged in false, misleading or deceptive conduct after continuing to sell tickets for more than two weeks on average, and in some cases up to 47 days.

It is also alleged that the airline failed to inform existing ticket holders for 10,000 flights that they had been canceled for an average of 18 days and up to 48 days between May and July 2022.

As a result, customers had less time to make alternative arrangements, which may have resulted in them paying higher prices.

The ACCC said Qantas continued to sell tickets for the flights on its website for two days or more, notifying ticket holders that their flights for the same period had been canceled for about 70 percent of canceled flights.

Qantas canceled a quarter of its flights between May and July 2022, amounting to about 15,000, the watchdog said.

The Australian Competition and Consumer Commission is taking proceedings in the Federal Court alleging that Qantas engaged in false, misleading or deceptive conduct after continuing to sell tickets for more than two weeks on average, and in some cases up to 47 days.

Chair Gina Cass-Gottlieb said the commission has conducted a detailed investigation into the airline.

“As a result, we initiated this proceeding alleging that Qantas continued to sell tickets for thousands of canceled flights, likely affecting the travel plans of tens of thousands of people,” she said.

“This case is not about an alleged violation of the actual cancellation of flights, but about the actions of Qantas after it canceled the flights.”

The ACCC demands fines, court orders, declarations and costs.