U.S. Fines Airlines More Than $7 Million for Not Providing Refunds

Air India was assessed the second-largest fine, of $1.4 million, and TAP Air Portugal was fined $1.1 million. The remaining three carriers — Aeromexico, El Al and Avianca — will each pay less than $1 million. Including the penalties announced on Monday, the department’s Office of Aviation Consumer Protection has issued a record $8.1 million in fines in 2022.

The announcement comes after months of growing complaints from travelers about flight delays, cancellations and other problems. Airlines have enjoyed a booming business since this summer, as more people have shifted their spending from goods to travel and other services after two years of the pandemic. Many people have been so eager to travel that they have been willing to pay much higher ticket prices.

In recent months, the Transportation Security Administration has screened an average of more than two million people a day at airport checkpoints, or about 95 percent as many as it screened during a similar period in 2019.

The fines announced on Monday are part of a continuing effort by the Transportation Department to hold the industry to account. This summer, for example, it unveiled a consumer dashboard to encourage airlines to commit to providing free hotel stays and meals when travel is severely disrupted. The department has also proposed stricter rules for how airlines and travel-search websites disclose fees for services like checking bags and seat selection.

In August, the department also proposed a rule that would more clearly define when airlines would issue refunds. Consumer groups embraced that proposal but also complained that the department had acted too slowly, allowing airlines to not refund customers money they were owed, particularly early in the pandemic.

Article source: https://www.nytimes.com/2022/11/14/business/transportation-department-airline-fines.html