Advertisement

‘No more loopholes’: Changes to air passenger rights are ‘significant,’ minister says

Click to play video: 'Canada aims to toughen air passenger bill of rights'
Canada aims to toughen air passenger bill of rights
WATCH: As a busy summer travel season approaches, the federal government is making big changes to the air passenger bill of rights, so dissatisfied customers will supposedly have an easier time receiving compensation from airlines. Touria Izri explains – Apr 24, 2023

Transport Minister Omar Alghabra says airlines’ use of loopholes around traveller compensation “left government with no choice” but to strengthen passenger rights rules.

Amid a massive complaints backlog, Alghabra said Monday the COVID-19 pandemic and travel chaos over the past year exposed gaps in the Liberals’ passenger rights charter. Carriers frequently cited safety as the reason for last-minute cancellations and delays, relieving them of their obligation to pay compensation to customers, he said.

Click to play video: 'Changes made to close loopholes and strengthen air passenger rights'
Changes made to close loopholes and strengthen air passenger rights

At a news conference in Ottawa, the federal minister laid out reforms that put the onus on airlines to show a flight disruption is caused by safety concerns or reasons outside their control.

Story continues below advertisement

“This means there will be no more loopholes where airlines can claim a disruption is caused by something outside of their control for a security reason when it’s not. And it will no longer be the passenger who will have to prove that he or she is entitled to compensation. It will now be the airline that will need to prove that it does not have to pay for it,” he said.

“I really think airlines left government no choice, after what we saw, to further clarify the rules and make sure that passenger rights are protected.”

Click to play video: 'Ottawa looking to improve air travel for passengers'
Ottawa looking to improve air travel for passengers

Currently, a passenger is entitled to between $125 and $1,000 in compensation for a three-hour-plus delay or a cancellation made within 14 days of the scheduled departure _ unless the disruption stems from events outside the airline’s control, such as weather, or a safety issue such as mechanical problems. The amount varies depending on the size of the carrier and length of the delay.

Story continues below advertisement

Tabled in the House of Commons as part of a budget implementation bill Thursday, the amendments also ratchet up the maximum penalty for airline violations to $250,000 — a tenfold increase — and put the regulatory cost of complaints on carriers. In theory, the measure gives airlines an incentive to brush up their service and thus reduce the number of grievances against them.

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.

Get breaking National news

For news impacting Canada and around the world, sign up for breaking news alerts delivered directly to you when they happen.
By providing your email address, you have read and agree to Global News' Terms and Conditions and Privacy Policy.

The legislation further demands that airlines institute a process to deal with claims and respond to complaints with a decision within 30 days. The establishment of “complaint resolution officers” at the Canadian Transportation Agency should also expedite the process for complaints, as should a 60-day maximum for the regulator to handle them, some advocates say.

The complaints backlog at the agency now stands at about 45,000, more than triple the tally from a year ago and requiring at least 18 months on average per case.

Click to play video: 'Snowstorm an example of possible exception to air passenger compensation: Alghabra'
Snowstorm an example of possible exception to air passenger compensation: Alghabra

Alghabra told reporters the new provisions are “not meant to demonize airlines” or their employees, but said “there may be some, mostly airlines, who claim that we are unfairly targeting them.”

Story continues below advertisement

The National Airlines Council of Canada, an industry group representing four of the country’s biggest carriers, has said the government should focus on other priorities such as airport upgrades and warned that the cost of tougher passenger protections could trickle down to travellers.

NDP transport critic Taylor Bachrach said the proposed law still leaves the so-called safety loophole intact and falls short of European passenger rights standards.

“When we look at the European model, it’s been working for over a decade. And I can’t explain why the minister hasn’t chosen to emulate that model. He’s trying to reinvent the wheel and it’s not necessary.”

Click to play video: 'Canadian government changing air travel rules'
Canadian government changing air travel rules

Sponsored content

AdChoices