FRONT OF THE LINE
The U.S. Department of Transportation announced last week new and expanded airline passenger rules and protections. U.S. Transportation Secretary Ray LaHood said the new rules, “will help make sure air travelers are treated with the respect they deserve.” While the expanded protection is good for airline passengers, I hate when the government tells businesses how to run their own company. I am okay with safety issues, but I think the law of supply and demand should rule when it comes to day to day operational issues.
SOME OF THE NEW RULES:
Lost Bags and Bag Fees. Airlines will now be required to refund any fee for carrying a bag if the bag is lost. Airlines will also be required to apply the same baggage allowances and fees for all segments of a trip, including segments with interline and code share partners
Full Disclosure of Additional Fees. Airlines will also have to prominently disclose all potential fees on their websites, including but not limited to fees for baggage, meals, canceling or changing reservations, or advanced or upgraded seating. In addition, airlines and ticket agents will be required to refer passengers both before and after purchase to up-to-date baggage fee information, and to include all government taxes and fees in every advertised price
Bumping. Doubles the amount of money passengers are eligible to be compensated for in the event they are involuntarily bumped from an oversold flight. Currently, bumped passengers are entitled to cash compensation equal to the value of their tickets, up to $400, if the airline is able to get them to their destination within a short period of time (i.e., within 1 to 2 hours of their originally scheduled arrival time for domestic flights and 1 to 4 hours of their originally scheduled arrival time for international flights). Bumped passengers are currently entitled to double the price of their tickets, up to $800, if they are delayed for a lengthy period of time (i.e., over two hours after their originally scheduled arrival time for domestic flights and over 4 hours after their originally scheduled arrival time for international flights). Under the new rule, bumped passengers subject to short delays will receive compensation equal to double the price of their tickets up to $650, while those subject to longer delays would receive payments of four times the value of their tickets, up to $1,300. Inflation adjustments will be made to those compensation limits every two years.
Tarmac Delays. The new rule expands the existing ban on lengthy tarmac delays to cover foreign airlines’ operations at U.S. airports and establishes a four hour hard time limit on tarmac delays for international flights of U.S. and foreign airlines, with exceptions allowed only for safety, security or air traffic control-related reasons. Carriers must also ensure that passengers stuck on the tarmac are provided adequate food and water after two hours, as well as working lavatories and any necessary medical treatment.
Reservations: Requiring airlines to allow reservations to be held at the quoted fare without payment, or cancelled without penalty, for at least 24 hours after the reservation is made, if the reservation is made one week or more prior to a flight’s departure date.
Delays: Requiring airlines to promptly notify consumers of delays of over 30 minutes, as well as cancellations and diversions. This notification must take place in the boarding gate area, on a carrier’s telephone reservation system and on its website.
If a potential customer does not like the way a carrier is running its business, they can just choose another airline to use. Businesses improve when they lose clients, not because of government regulations.
Next thing we know is that the Food & Drug Administration will outlaw the special sauce on a Big Mac. Too fatty.
BACK OF THE LINE
Schadenfreude is the pleasure derived from another’s misfortune. That is exactly what I felt when I read about how United Airlines (UA) was changing its travel privilege policy for UA retirees. Currently, past and present airline employees get to fly for free. I have no problem with current employees being able to fly for free, but I don’t see why past employees should still get the perk. You’re retired; your privileges should be ended. Do ex-McDonald employees get hamburgers for life?
United Airlines just posted a net loss of $213 for the first quarter of 2011 because of higher fuel costs. More people means more gas consumed. So the freeloading employees cost the company money.
According to Crain’s, “The new policy, which takes effect Jan. 1, gives all current and retired workers for the Chicago-based airline eight vacation passes a year that guarantee them top priority when flying standby. Beyond that, however, current employees get priority over retirees. “
So retirees will still get to fly for free, they just won’t take precedence over current employees when it comes to getting a free-loader seat.
Retired employees are going insane and petitions are flying. Maybe they should ask the Department of Transportation to interfere. The government loves a good fight when it is none of their business.
Caroline writes:
ReplyDelete"Good article. We do not necessarily agree. The airlines have become like the cab industry. They have developed a take it or leave it policy. If we want to travel we have to put up with whatever dismal customer service they chose to give us. "
Sue writes:
ReplyDelete"It may be none of their business and they are interfering...but the airlines are doing inexcusable things and getting away with it. I actually like when someone steps in and stops the poor treatment that a passenger gets."