U.S. completes 10 airline refund probes, plans enforcement actions
By David Shepardson
WASHINGTON (Reuters) -The U.S. authorities has accomplished 10 airline investigations into delayed or withheld passenger refunds in the course of the COVID-19 pandemic and can take enforcement motion in coming weeks, a Transportation Division official informed Reuters on Sunday.
U.S. Transportation Secretary Pete Buttigieg on Sunday disclosed the passenger refund probes had been full and stated 10 further airline probes stay ongoing.
“We’ll collaborate with airways after they’re able to take steps which might be optimistic and proactive, whether or not that is enhancements in pay which might be serving to with hiring or flexibility in customer support,” Buttigieg informed Fox Information Sunday. “We’re additionally going to implement passenger and shopper rights.”
Neither Buttigieg nor the division recognized the airways. Buttigieg stated the federal government has been investigating airways “failing to supply refunds to passengers after they bought caught with cancellations.” He stated the probes are “to ensure that the shoppers and passengers are protected.”
In September 2021, the U.S. Transportation Division (USDOT) stated it had 18 pending investigations over complaints that airways failed to supply well timed refunds in the course of the COVID-19 pandemic.
Airways for America, an business group, stated on Sunday, “We look ahead to working with the federal authorities to establish and resolve shared challenges to reduce disruptions and guarantee protected, seamless journey.”
Air Canada in November agreed to a $4.5 million settlement to resolve a USDOT investigation into claims that 1000’s of air passenger refunds had been delayed.
In June 2021, USDOT stated it was searching for a $25.5 million advantageous towards Air Canada over the provider’s failure to supply well timed refunds, alleging the airline had a no-refund coverage in violation of U.S. regulation for greater than a yr.
USDOT has stated it plans to difficulty guidelines on refunds for shoppers who’re unable to journey resulting from authorities restrictions. Current rules don’t deal with refund eligibility below particular circumstances, resembling government-imposed journey restrictions.
Final month, Buttigieg met with airline chief executives to attempt to make sure summer season flight schedules are adopted after a spate of cancellations. Airways have canceled or delayed 1000’s of flights, angering shoppers. Airways have blamed air visitors management staffing points on the Federal Aviation Administration for a lot of the issue.
Buttigieg stated: “We have seen some enchancment over the course of the summer season, however nonetheless not a suitable stage when it comes to efficiency, cancellation and delays.”
(Reporting by David Shepardson in WashingtonEditing by Matthew Lewis)