Australian flight delays and cancellations: airline passengers could soon receive compensation

Australian airlines may soon be forced to pay passengers compensation for delayed or canceled flights.

Four organizations have all individually raised the idea of ​​a compensation scheme with the government as it considers releasing its aviation white paper next year.

The Australian Competition and Consumer Commission (ACCC), consumer advocate Choice, the Australian Lawyers Alliance (ALA) and advocacy group Consumer champion all claim that Australia’s laws are “far behind” the rest of the world.

The Australian Competition and Consumer Commission revealed: ‘In July 2022, 6.4 per cent of domestic flights were canceled and a record 46 per cent of domestic flights were delayed’

They refer to European Union aviation law – where passengers arriving with a delay of more than three hours are entitled to between €250 ($405) and €600 ($970) each, depending on the distance of the journey – to be considered as a model for the Australian Government.

In the EU, longer delays mean that passengers can opt for a refund, which must be paid back to them within seven days.

However, the rules do not apply if the flight disruption is due to something beyond the airline’s control, such as weather, medical emergencies, or air traffic control restrictions.

While in Australia different airlines offer different compensation schemes.

Consumer advocates are calling on the Australian government to adopt the EU model of forcing airlines to pay compensation if flights are more than three hours late

And while Australian consumer law applies, there are no flight-specific rules regarding the amount of compensation paid or the time frame.

Adam Gleezer, founder of the consumer advocacy group Consumer Championtold Daily Mail Australia that in 2020 he brought Australia’s paltry flight compensation coverage to the government’s attention.

“The reality is that Australia is way behind other countries,” he said.

“Until we actually have consequences for airlines that want or don’t cancel flights, nothing will change.”

Mr Gleester said passengers would be ‘lucky if they were given $15 in food stamps to spend at the airport’ if their flight is delayed or cancelled.

“The Australian government, whether Liberal or Labour, has repeatedly delayed and ignored the issue, despite being well aware of the desperate need to make changes,” he added.

The ACCC outlines in their March submission to the aviation white paper that Australian consumers have experienced extensive cancellations, delays and mishandled bags in the post-pandemic period.

“In July 2022, 6.4 percent of domestic flights were canceled and a record 46 percent of domestic flights were delayed,” the commission wrote.

It added: ‘Some advocates have called for consumer protection measures to be introduced in Australia, which set out more specific compensation rights for consumers for delayed or canceled flights.’

In fact, current legislation allows airlines to sell tickets that do not guarantee departure times, meaning there is little to no repercussion if they cancel flights at the last minute.

“There is currently no real incentive for airlines not to cancel or postpone flights… there is no obligation to provide a service,” Jodi Bird, Choice Australia’s money and travel expert, told me. The protector.

The compensation offered by Australian airlines for Mr Bird assistance is often hidden in terms and conditions, meaning passengers are unaware of what they are accessing.

“If your flight with a cheaper airline is delayed, you can usually get a voucher in Australia, which will buy you a cup of coffee at the airport if you’re lucky,” he said.

Bird said that while the EU model is “very clear and consistent across all airlines so people know what they are entitled to,” the US and Indonesia also have forms of regulated compensation, meaning “Australia is really behind the rest here of the world’. .

“Australian airlines don’t seem to care much about customer service after they’ve sold you the ticket, and something like that would mean they should,” he said.

Separately, the ALA has also urged the Albanian government to include a compensation scheme as part of its aviation white paper.

Australia’s lack of compensation for flight delays and cancellations puts us behind much of the world when it comes to protecting travellers’ rights.

“Instead of Australian passengers having to jump through legal loopholes to receive flight delay compensation, it is time for Australia, in the rare instances where it is available, to have its own simple and straightforward compensation scheme,” the ALA told The Guardian.