Airlines will now be required to give automatic cash refunds for canceled and delayed flights

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Category: Business

Listening

Unlocking Word Meanings

Read the following words/expressions found in today’s article.

  1. disclose / dɪˈskloʊz / (v.) – to make something known to the public
    Example:

    The product development team members can’t disclose any information on their project yet.


  2. wiggle room / ˈwɪg əl rum / (n.) – the opportunity or ability to change or adjust minor details in a plan, schedule, etc.
    Example:

    The deadline is final. We don’t have any wiggle room for delays.


  3. refundable / ˌri ˈfʌn də bəl / (adj.) – relating to being able to get one’s money back for a paid product or service that is returned or canceled
    Example:

    Customers should keep their receipts for any refundable items they buy.


  4. upfront / ˌʌpˈfrʌnt / (adv.) – ahead of time; in a way that makes one’s intentions clear
    Example:

    The hotel manager told us upfront about the additional fees.


  5. oblige / əˈblaɪdʒ / (v.) – to make or require someone to do something because of a law or rule
    Example:

    The new policies oblige businesses to provide their employees with additional benefits.


Article

Read the text below.

The Biden administration issued final rules to require airlines to automatically issue cash refunds for things like delayed flights and to better disclose fees for baggage or canceling a reservation.


The Transportation Department said airlines will be required to provide automatic cash refunds within a few days for canceled flights and “significant” delays.


Under current regulations, airlines decide how long a delay must last before triggering refunds. The administration is removing that wiggle room by defining a significant delay as lasting at least three hours for domestic flights and six hours for international ones.


Airlines still will be allowed to offer another flight or a travel credit instead, but consumers can reject the offer.


The rule will also apply to refunds of checked-bag fees if the bag isn’t delivered within 12 hours for domestic flights or 15 to 30 hours for international flights. And it will also apply to fees for things such as seat selection or an internet connection if the airline fails to provide the service.


Complaints about refunds skyrocketed during the COVID-19 pandemic, as airlines canceled flights and, even when they didn’t, many people didn’t feel safe sharing a plane cabin with other passengers. 


Airlines for America, a trade group for large U.S. carriers, noted that refund complaints to the Transportation Department have fallen sharply since mid-2020. A spokesperson for the group said airlines “offer a range of options—including fully refundable fares—to increase accessibility to air travel and to help customers make ticket selections that best fit their needs.”


The Transportation Department issued a separate rule requiring airlines and ticket agents to disclose upfront what they charge for checked and carry-on bags and canceling or changing a reservation. On airline websites, the fees must be shown the first time customers see a price and schedule.


The rule will also oblige airlines to tell passengers they have a guaranteed seat they are not required to pay extra for, although it does not bar airlines from charging people to choose specific seats. Many airlines now charge extra for certain spots, including exit-row seats and those near the front of the cabin.


This article was provided by The Associated Press.


Viewpoint Discussion

Enjoy a discussion with your tutor.

Discussion A

  • In your country, what happens when flights or train trips are delayed/canceled? Do passengers get refunds? What do you think should be done for passengers experiencing such problems and issues? Discuss.
  • The Transportation Department said airlines will be required to provide automatic cash refunds within a few days for canceled flights and “significant” delays. How would you describe a “significant” delay in a flight? In your opinion, should the cash refund depend on how long the delay of a flight is? Discuss.

Discussion B

  • The Transportation Department issued a separate rule requiring airlines and ticket agents to disclose upfront what they charge for checked and carry-on bags and canceling or changing a reservation. What do you think of this rule? Is it necessary? Why do you say so? Discuss.
  • In your opinion, why are some airlines and ticket agents not disclosing upfront the additional fees they charge? Should these companies be punished for not disclosing upfront the additional fees they charge? Discuss.