Frequent fliers are not happy. Under the previous administration, there was a plan implemented that would have made airlines reimburse travelers for flight delays and cancellations. These reimbursements would have happened automatically. Anyone who has suffered a delay or cancellation understands the frustration. Not to mention that it sometimes comes with a financial burden when they extend past a certain point. However, the DOT has recently recinded its promise to reimburse flyers for delays and cancellations, and now people are outraged.
DOT Recinded Its Promise To Reimburse Flyers For Delays And Cancellations
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The NY Post shared why the DOT decided to walk back on its promises. According to the outlet, the DOT argued "that the policy would result in unnecessary regulatory burdens." Initially, the reimbursement could have ranged from $200-$300 for domestic delays of at least three hours. For longer disruptions, the compensation could have been as high as $775. Additionally, the airline carriers would have had to pay for the fliers' hotel rooms and meals during the delays or cancellations. Not to mention that this reimbursement would be automatic. Naturally, the airlines were not thrilled with these promises.
Despite the fact that these reimbursements only applied to reasons deemed under the airlines' control, such as mechanical issues or staffing shortages, airlines still felt it was unjust. As the DOT rescinded its promise, it argued that its decision to do so was in line with a new executive order signed by President Trump. That order is called "Unleashing Prosperity Through Deregulation." The DOT argued that this automatic reimbursement policy could have negative consequences. They argued that it could "discourage airlines from focusing on investments in new technologies to address cancellation and delays directly."
So What Happens Now?
Although the DOT has rescinded its promise to reimburse flyers for delays and cancellations automatically, all is not lost. Instead, their new plan is to let the airlines decide how to reimburse travelers in the event of a delay or cancellation. Carriers will still be responsible for refunding passengers for canceled flights, so at least they have that. However, it is now up to the fliers to contact the airline to ensure that their reimbursement goes through successfully.
