Thursday, August 15, 2024
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Amid rising concerns over flight delays and cancellations, Australia’s aviation industry is under scrutiny as passengers and consumer advocates push for stronger protections. According to recent government statistics, in May 2024, most airlines across all routes in Australia achieved an average on-time arrival rate of 78.6 percent and a departure rate of 79.6 percent. While these figures show an improvement compared to last year, they still fall short of the long-term average of over 80 percent. This has led to growing frustration among passengers, particularly given the lack of effective recourse under current laws.
The Need for a Passenger Bill of Rights
Victoria Roy, principal solicitor and founder of Victory Travel & Cruise Lawyers, and a spokesperson for the Australian Lawyers Alliance (ALA), has been vocal about the limitations of Australian consumer law when it comes to protecting airline passengers. Roy highlights that the pandemic brought to light longstanding issues in the aviation sector, particularly the lack of specific, enforceable rights for passengers when flights are delayed or canceled.
“There is no single framework in Australia setting out passengers’ rights to compensation if their flights are delayed or canceled,” Roy explains. “The rights that do exist are derived from various sources, such as airlines’ conditions of carriage, contracts, and general Australian consumer law. However, these are often vague and do not specifically address the unique challenges faced by air travelers.”
In response to these gaps, the ALA has called for the establishment of a comprehensive Passenger Bill of Rights. Such a bill would mandate financial compensation for passengers who experience delays, cancellations, or denied boarding under circumstances within the airline’s control. Additionally, an update to the Civil Aviation (Carriers’ Liability) Act 1959 has been recommended to close existing loopholes that leave some passengers without any rights under current legislation.
Ongoing Inquiry and the Call for Stronger Protections
The push for enhanced passenger protections is gaining traction in the political arena as well. The Rural and Regional Affairs and Transport Legislation Committee is currently conducting an inquiry into the Airline Passenger Protections (Pay on Delay) Bill 2024. The committee is expected to release its final report by November 18, 2024. The proposed bill has sparked considerable debate, with advocates arguing that a strong regulatory framework is essential to hold airlines accountable.
During a Senate hearing on May 15, 2024, Senator Perin Davey, Deputy Leader of the Nationals in New South Wales, highlighted the challenges faced by regional Australians. She noted that passengers often travel long distances to reach airports, only to be faced with cancellations or significant delays. Davey emphasized that while the proposed bill is not a silver bullet, it represents a crucial step towards ensuring airlines are held accountable for their actions.
CHOICE and Consumer Advocacy Groups Push for Reform
Consumer advocacy group CHOICE, alongside the Consumers’ Federation of Australia, has also been at the forefront of the campaign for stronger passenger rights. In December 2023, CHOICE published a survey revealing that two out of five Australians had experienced a flight cancellation or delay in the previous 12 months. Alarmingly, 85 percent of these passengers were not offered any form of compensation, such as meal or accommodation vouchers, and 65 percent received no explanation for the disruption.
In their joint submission to the government’s Aviation Green Paper, CHOICE and the Consumers’ Federation of Australia outlined several key recommendations:
- Minimum compensation arrangements for delayed or canceled flights.
- Clearer rights to refunds and standards for travel vouchers and credits.
- Enhanced customer service requirements, ensuring passengers are well-informed and adequately supported.
CHOICE has also called for the creation of an independent travel and tourism industry ombudsman with broader powers than the current Airline Customer Advocate. Bea Sherwood, Senior Campaigns and Policy Advisor at CHOICE, emphasized the need for these reforms to restore consumer confidence in the aviation sector.
Challenges in Implementing a Passenger Bill of Rights
Despite the growing support for a Passenger Bill of Rights, there are significant challenges to its implementation. Roy notes that the current system is complex and often requires passengers to take legal action to enforce their rights—a process that is both costly and difficult. By contrast, other jurisdictions such as the European Union, the United Kingdom, and Canada have clear, straightforward schemes that outline passengers’ rights to compensation based on the length and cause of delays.
“A Passenger Bill of Rights in Australia would not only set out clear compensation guidelines but also improve communication standards,” Roy explains. “For instance, airlines would be required to inform passengers about delays and cancellations as soon as reasonably practicable and provide clear instructions on how to lodge compensation claims.”
Looking Ahead: The Future of Airline Passenger Rights in Australia
As the aviation industry and lawmakers grapple with these issues, the upcoming Aviation White Paper is expected to play a crucial role in shaping the future of passenger rights in Australia. Advocates like Roy and Sherwood are hopeful that the paper will recommend significant changes, including the introduction of penalties for airlines that fail to meet consumer guarantees and a ban on unfair trading practices.
The ongoing debate underscores the need for a balanced approach that protects passengers’ rights while considering the operational realities of the aviation industry. As Australia looks to the future, a robust Passenger Bill of Rights could be a pivotal step in ensuring that travelers receive fair treatment and adequate compensation when things go wrong.
Source: LSJ News