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Six Airlines Told to Refund Passengers $600M for Delays, Cancellations

 1 year ago
source link: https://www.businessinsider.com/airlines-refund-extreme-delays-pandemic-passengers-2022-11
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Six airlines have been ordered to collectively refund passengers more than $600 million over flight delays and cancellations

1 hour ago
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Airport passengers wearing masks.

Passengers endured considerable disruption to flights throughout the pandemic. Paul Bersebach/MediaNews Group/Orange County Register via Getty Images

  • The Department of Transportation (DoT) has ordered six airlines to provide refunds to passengers.
  • The refunds total more than $600 million among the airlines in question.
  • The DoT also said it was considering penalties of $7.25 million for delays in providing refunds.
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The Department of Transportation (DoT) has demanded that six airlines refund passengers to the tune of more than $600 million over flight cancellations and other disruptions.

The airlines in question were Frontier, Air India, TAP Portugal, Aeromexico, El Al, and Avianca, the DoT announced in a press release.

The DoT also said it was considering more than $7.25 million of civil penalties against carriers for "extreme" delays in providing refunds.

Frontier Airlines is facing the largest penalty. The airline paid back $222 million in required refunds and is now facing a potential $2.2 million penalty from the department. 

Air India also faces a hefty fine of $1.4 million if the department pursues the penalties.

None of the airlines in question immediately responded to Insider's request for comment made outside normal working hours.

The DoT said it had received a flood of complaints from airline passengers about refunds since the start of the COVID-19 pandemic, which saw hundreds of flights canceled or rescheduled.

In the US, airlines and ticket agents are legally required to provide refunds if flights are canceled or changed, and the passenger did not wish to accept the alternative offered, per the DoT. It was unlawful for airlines to provide vouchers to customers and refuse refunds, it added.

US transportation secretary, Pete Buttigieg, said: "When a flight gets canceled, passengers seeking refunds should be paid back promptly. Whenever that doesn't happen, we will act to hold airlines accountable on behalf of American travelers and get passengers their money back."

"A flight cancellation is frustrating enough, and you shouldn't also have to haggle or wait months to get your refund," he added. 


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