Major U.S. airlines have petitioned the U.S. Transportation Department to halt a review initiated by the Biden administration that considers mandating compensation to passengers for flight disruptions. Airlines for America, representing American Airlines, Delta Air Lines, United Airlines, and others, requested the Trump administration to cease the review process and gather feedback on whether U.S. airlines should provide compensation for disruptions caused by carriers, a practice mandated in the European Union and Canada.
The trade group argued that airlines are already motivated to offer quality service and that the U.S. Department of Transportation (USDOT) lacks the legal authority for such requirements, warning that it could significantly raise airline costs and ticket prices.
The International Air Transport Association, which represents airlines globally, also criticized the proposal, decrying mandated compensation programs as costly to airlines without significantly reducing flight disruptions.
Expressing concerns, Spirit Airlines highlighted how the proposal could affect safety by potentially pushing airlines to overlook necessary cancellations or delays due to safety concerns.
In its proposal last December, USDOT suggested potential compensation amounts for domestic flight delays of three, six, and nine hours. Former Transportation Secretary Pete Buttigieg commented that such rules would alter economic incentives for airlines to improve their services.
In May 2023, President Joe Biden indicated his administration's intention to enforce rules mandating airlines to compensate passengers for disrupted flights. Presently, airlines are required to refund passengers for cancellations, while compensation for delays is not mandatory.
Although major carriers have pledged to cover expenses like meals and lodging for significant flight disruptions they cause, a recent court ruling blocked the Biden administration's 2024 rule, citing non-compliance with procedural regulations.