UK and EU passengers are entitled to compensation when flights get cancelled—can we do it here too?
- Replies 2
Air travel has changed drastically in the last few years.
Many Aussies have had experiences with long delays and cancellations of flights, and with air prices as high as they are, these disruptions can put a big dent in our wallets.
For one, it has recently come to light that the Australian Competition and Consumer Commission is taking Qantas to court for allegedly selling tickets for flights that were never going to take off.
Unfortunately, Australian air passenger rights are woefully weaker compared to other countries.
Independent MP Monique Ryan recently brought this issue to the public's attention when she told parliament during question time that the laws here are too lenient to allow 'endless delays and cancellations without penalty to the airline'. She suggested we take cues from Canada, US, and EU to give passengers fairer rights.
'Delaying and cancelling flights is part of Qantas’s business model,' Independent MP Ryan told Parliament.
'We need to change the laws to stop that.'
EU countries and the UK air passengers are protected by Regulation EC261, a law enacted in 2004 to protect the air passenger's rights. The law covers flights that depart from and land in the region.
Despite Brexit, the UK is still covered by an equivalent.
As long as it is not caused by an 'extraordinary circumstance' such as flight safety shortcomings, bad weather, security risks, political instability, and industrial action, a flight delay over the 3-hour mark is eligible for monetary compensation.
But that's not all, changes of flight under 14 days’ notice, without alternative flights being offered, are also eligible for compensation.
Reimbursements to affected passengers must also be paid within seven days.
That's all very nice and convenient for our friends in the UK and EU, but how does that compare to the laws here in Australia?
In Australia, our protection falls under Australian consumer law, and our rights to compensations and refunds depend on the individual carrier’s policy.
Dr James Gilchrist Stewart, a Consumer Law Expert at RMIT’s Graduate School of Business and Law, said that the UK and EU’s ‘fair and logical’ model could be adapted to Australia.
'We just need all carriers to be held to the same standard. If legislation like this was adapted to Australia, it would at least put the consumer’s interests first.'
'The burden of proof lies on the airlines, they are the ones who have to prove they have got in touch with the passenger. In the EU and UK, [the regulations] seem to work for the consumer, but in Australia, they seem to work for the airline.'
Australian consumers are left with few options during flight disruptions, according to Gerard Brody, Chair of the Consumers Federation of Australia.
He said an ombudsman would be needed by the travel and tourism industry to oversee compensation rights when flights are cancelled or delayed and to create a more robust consumer protection framework. Organisations such as the Australian Competition and Consumer Commission, consumer advocacy group CHOICE, and the Australian Lawyers Alliance shared the same sentiment.
'At the moment it’s all in their [airline companies] own hands,' Brody said.
'We need a much stronger consumer protection framework that gives people rights and provides an incentive for the business to get it right to begin with.'
However, many airlines in the country are against this new proposed legislation, claiming that it will lead to an increase in airfare prices.
Monash University Business School Professor Greg Bamber emphasised that airlines charged high ‘change fees’ if customers wanted to change their flights.
'But if the airlines cancel or change customers’ flights, which might seriously inconvenience customers, the people who are inconvenienced get no compensation.'
Members, what do you think about this proposal? Should Australians be compensated by airline companies if their flights are cancelled? Let us know your thoughts in the comments below!
Many Aussies have had experiences with long delays and cancellations of flights, and with air prices as high as they are, these disruptions can put a big dent in our wallets.
For one, it has recently come to light that the Australian Competition and Consumer Commission is taking Qantas to court for allegedly selling tickets for flights that were never going to take off.
Unfortunately, Australian air passenger rights are woefully weaker compared to other countries.
Air passenger rights in Australia are woefully weaker compared to other countries. Image source: Freepik.
Independent MP Monique Ryan recently brought this issue to the public's attention when she told parliament during question time that the laws here are too lenient to allow 'endless delays and cancellations without penalty to the airline'. She suggested we take cues from Canada, US, and EU to give passengers fairer rights.
'Delaying and cancelling flights is part of Qantas’s business model,' Independent MP Ryan told Parliament.
'We need to change the laws to stop that.'
EU countries and the UK air passengers are protected by Regulation EC261, a law enacted in 2004 to protect the air passenger's rights. The law covers flights that depart from and land in the region.
Despite Brexit, the UK is still covered by an equivalent.
As long as it is not caused by an 'extraordinary circumstance' such as flight safety shortcomings, bad weather, security risks, political instability, and industrial action, a flight delay over the 3-hour mark is eligible for monetary compensation.
But that's not all, changes of flight under 14 days’ notice, without alternative flights being offered, are also eligible for compensation.
Reimbursements to affected passengers must also be paid within seven days.
UK and EU passengers are eligible for compensation for changes of flight under 14 days' notice. Image source: wavebreakmedia-micro on Freepik.
That's all very nice and convenient for our friends in the UK and EU, but how does that compare to the laws here in Australia?
In Australia, our protection falls under Australian consumer law, and our rights to compensations and refunds depend on the individual carrier’s policy.
Dr James Gilchrist Stewart, a Consumer Law Expert at RMIT’s Graduate School of Business and Law, said that the UK and EU’s ‘fair and logical’ model could be adapted to Australia.
'We just need all carriers to be held to the same standard. If legislation like this was adapted to Australia, it would at least put the consumer’s interests first.'
'The burden of proof lies on the airlines, they are the ones who have to prove they have got in touch with the passenger. In the EU and UK, [the regulations] seem to work for the consumer, but in Australia, they seem to work for the airline.'
Australian consumers are left with few options during flight disruptions, according to Gerard Brody, Chair of the Consumers Federation of Australia.
He said an ombudsman would be needed by the travel and tourism industry to oversee compensation rights when flights are cancelled or delayed and to create a more robust consumer protection framework. Organisations such as the Australian Competition and Consumer Commission, consumer advocacy group CHOICE, and the Australian Lawyers Alliance shared the same sentiment.
'At the moment it’s all in their [airline companies] own hands,' Brody said.
'We need a much stronger consumer protection framework that gives people rights and provides an incentive for the business to get it right to begin with.'
However, many airlines in the country are against this new proposed legislation, claiming that it will lead to an increase in airfare prices.
Monash University Business School Professor Greg Bamber emphasised that airlines charged high ‘change fees’ if customers wanted to change their flights.
'But if the airlines cancel or change customers’ flights, which might seriously inconvenience customers, the people who are inconvenienced get no compensation.'
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