Australian air travellers have suffered from a huge number of domestic flight cancellations in recent years, and the consumer watchdog is taking Qantas to court, alleging the company sold tickets for flights that were never going to take off.
Despite that, Australian passengers have few rights to compensation for delays and cancellations compared with travellers in some countries.
On Monday, the independent MP Monique Ryan told parliament during question time that weak consumer laws had allowed “endless delays and cancellations without penalty to the airline” and that Australia’s air passenger rights needed to catch up with those in Canada, the US and EU.
“Delaying and cancelling flights is part of Qantas’s business model,” she told parliament. “We need to change the laws to stop that.”
What are the laws in other countries?
In the UK and EU, air passengers are protected by laws that cover local carriers and all flights that depart from and land in the region. After a summer of strikes, fires and air traffic system failures, the regulations are being put through their paces.
The rules date to 2004, when the European parliament and council created Regulation EC261 to protect air passenger rights in the European Union.
Following Brexit, the UK is now protected by an EU261 equivalent.
Both pieces of legislation entitle passengers to monetary compensation, provided the delay or cancellation was not caused by an “extraordinary circumstance”.
Such circumstances include political instability, bad weather, security risks, “flight safety shortcomings” and industrial action.
Flight arrivals must also be delayed by three hours or more, and the compensation amount depends on the distance of the flight.
Flight cancellations are also covered by the legislation, although again there are limitations. For instance, flights cancelled with fewer than 14 days’ notice are eligible for compensation if no alternative flights are offered.
Reimbursements to disrupted passengers must be paid within seven days.
How do Australia’s laws compare?
In Australia, air passenger rights fall under Australian consumer law and flight compensations and refunds depend on the individual carrier’s policy.
Consumer law expert Dr James Gilchrist Stewart of RMIT’s graduate school of business and law said the “fair and logical” UK and EU model could be adapted to Australia.
“We just need all carriers to be held to the same standard. If legislation like this was adapted to Australia, it would at least put the consumer’s interests first.
“The burden of proof lies on the airlines, they are the ones who have to prove they have got in touch with the passenger. In the EU and UK, [the regulations] seem to work for the consumer, but in Australia, they seem to work for the airline.”
Flight disruptions leave Australian consumers with few options in an already poorly protected space, said Gerard Brody, chair of the Consumers Federation of Australia.
He said the travel and tourism industry needed an ombudsman and a robust consumer protection framework to oversee compensation rights when flights are cancelled or delayed, echoing calls by bodies including the Australian Competition and Consumer Commission, consumer advocate Choice and the Australian Lawyers Alliance.
“At the moment it’s all in their own hands,” Brody said of compensation policies.
“We need a much stronger consumer protection framework that gives people rights and provides an incentive for the business to get it right to begin with.”
Australian airlines have opposed such potential new legislation, claiming it would drive up the price of air fares.
Prof Greg Bamber of Monash University Business School noted that if customers wanted to change their flights, airlines charged them high “change fees”.
“But if the airlines cancel or change customers’ flights, which might seriously inconvenience customers, the people who are inconvenienced get no compensation.”
