New Australian aviation ombudsman could force airlines to pay cash compensation for delayed flights
An ombudsman will police how airlines treat customers and enforce a passenger rights charter to ensure timely refunds and possibly cash compensation for delayed and cancelled flights under landmark Australian aviation reforms. The Albanese government will release its much-anticipated aviation white paper on Monday which will also boost protection for passengers with disabilities who have historically been mistreated by airlines. Carriers will have to adhere to new standards and accommodate a broader range of wheelchairs. It is not clear how the federal government will address concerns about competition, which has been the most pressing issue for the industry after the collapse of Bonza and Rex’s financial turmoil that led to the regional airline entering administration and axing jet flights between capital cities. Industry experts and the competition watchdog have warned that the duopoly held by Qantas Group, including budget carrier Jetstar, and Virgin Australia could now increase air fares and feel little pressure to improve the customer experience. Qantas and Virgin control more than 90% of the Australian market. Heeding calls from consumer advocates, the government will establish an aviation industry ombudsman to replace the existing airline customer advocate. The existing body is funded and run by the airlines and critics have labelled it toothless due to its inability to order refunds or compensation. The new ombudsman scheme will involve an external dispute resolution service for passengers to lodge complaints about airline and airport misconduct – and will have the power to direct companies to pay remedies to customers if they have failed in their obligations. The scheme will publish reports on airline and airport conduct, make recommendations to the government and refer instances of misconduct to the Australian Competition and Consumer Commission for investigation, enforcement and potential legal action.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2024-08-26/general/new-australian-aviation-ombudsman-could-force-airlines-to-pay-cash-compensation-for-delayed-flights
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New Australian aviation ombudsman could force airlines to pay cash compensation for delayed flights
An ombudsman will police how airlines treat customers and enforce a passenger rights charter to ensure timely refunds and possibly cash compensation for delayed and cancelled flights under landmark Australian aviation reforms. The Albanese government will release its much-anticipated aviation white paper on Monday which will also boost protection for passengers with disabilities who have historically been mistreated by airlines. Carriers will have to adhere to new standards and accommodate a broader range of wheelchairs. It is not clear how the federal government will address concerns about competition, which has been the most pressing issue for the industry after the collapse of Bonza and Rex’s financial turmoil that led to the regional airline entering administration and axing jet flights between capital cities. Industry experts and the competition watchdog have warned that the duopoly held by Qantas Group, including budget carrier Jetstar, and Virgin Australia could now increase air fares and feel little pressure to improve the customer experience. Qantas and Virgin control more than 90% of the Australian market. Heeding calls from consumer advocates, the government will establish an aviation industry ombudsman to replace the existing airline customer advocate. The existing body is funded and run by the airlines and critics have labelled it toothless due to its inability to order refunds or compensation. The new ombudsman scheme will involve an external dispute resolution service for passengers to lodge complaints about airline and airport misconduct – and will have the power to direct companies to pay remedies to customers if they have failed in their obligations. The scheme will publish reports on airline and airport conduct, make recommendations to the government and refer instances of misconduct to the Australian Competition and Consumer Commission for investigation, enforcement and potential legal action.<br/>
