NO FAULT FEE

Win or Lose, Ottawa Wants Airlines to Pay $790 per Solved Passenger Complaint

The Canadian Transportation Agency (CTA) has proposed charging Canadian carriers CAD$790 per resolved passenger complaint, regardless of which side wins.

A one-month consultation on the reform began Wednesday (19SEP).

According to Global News, the agency estimates it will close just over 22,600 complaints per year, resulting in approximately CAD$17.9 million in fees charged to the airlines.

The charge aims to cover half of the agency's annual cost of handling pax complaints, or CAD$29.8 million.

As previously reported, an analysis by the CBC found that one-half of all resolved airline pax disputes have resulted in wins for passengers.

In nearly three-quarters of the rulings favouring pax, airlines were ordered to pay compensation for flight disruptions. In the rest, carriers had to reimburse customers for added expenses or refund flights.

In April of this year, Open Jaw reported that more than 71,000 complaints are on file with the CTA, the highest number ever. According to the Canadian Press, that number now sits at about 78,000.

The CTA has dealt with a backlog of air passenger protests since new regulations were introduced in 2019.

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