Washington, D.C. – Airlines will now be required to automatically refund passengers in certain circumstances, according to a new rule announced by Transportation Secretary Pete Buttigieg. The rule, aimed at eliminating unexpected fees and promoting transparency, mandates full refunds when flights are canceled, baggage return is significantly delayed, or customers do not receive paid inflight amenities. This move comes as part of a broader effort to protect airline customers and crack down on what the White House refers to as “corporate rip-offs.”
In addition to the refund rule, airlines will be required to clearly and accurately list any extra fees on their platforms or when providing fare prices offline. This will help prevent the practice of offering discounts that only apply to a portion of the total price, known as “discount bait-and-switch tactics.” The goal is to make it easier for passengers to understand the full cost of their flights without being surprised by hidden fees.
The announcement follows a series of incidents involving Boeing plane malfunctions, prompting major carriers like Southwest, Alaska Airlines, and United to reassess their operations. In response to customer complaints against airlines and ticket agencies, Buttigieg announced a partnership with state attorneys to expedite the resolution process. These initiatives aim to strengthen passenger protections and hold airlines more accountable for their actions.
The White House is also proposing additional rules to ban seating fees for parents traveling with children, make certain amenities mandatory, and expand accommodations for passengers who use wheelchairs. This comprehensive approach reflects President Joe Biden’s commitment to addressing hidden fees and advocating for consumer rights across various sectors of the economy.
Overall, these new airline rules represent a significant step in the Biden administration’s efforts to combat corporate practices that exploit consumers. By prioritizing transparency, accountability, and passenger protections, the government aims to empower travelers and ensure a fair and honest marketplace for air travel. This multifaceted crackdown on hidden fees aligns with the administration’s broader mission to reduce or eliminate exploitative practices across different industries, ultimately benefiting consumers nationwide.