Edited by: Fern Sidman
Senators Edward J. Markey (D-Mass.), Richard Blumenthal (D-Conn.), Elizabeth Warren (D-Mass.), and Sheldon Whitehouse (D-RI), along with Representatives Steve Cohen (TN-09), Jesús G. “Chuy” García (IL-04), and Jamie Raskin (MD-08), on Monday introduced the Cash Refunds for Flight Cancellations Act, which would provide consumers an enforceable right to a full cash refund for flight and ticket cancellations. The bill codifies the Department of Transportation rule requiring major airlines to offer consumers a cash refund if the airline cancels or significantly delays a flight and provides consumers a new right to a cash refund if they cancel their ticket up until 48 hours of the flight’s scheduled departure.
The Democratic lawmakers are introducing the Cash Refunds for Flight Cancellations Act amid months of nightmarish air travel issues and the ongoing threat of the COVID-19 pandemic. Over the past few months, flight cancellations and delays have skyrocketed, far exceeding the number before the pandemic and leading to an avalanche of consumer complaints. While federal law requires airlines to provide cash refunds when they cancel a flight, most airlines only offer to rebook passengers or provide a voucher as the default option instead, forcing customers to jump through hoops to claim their rightful refund. At the same time, with the emergence of new COVID-19 variants, consumer travel plans continue to be unpredictable. In this age of increased travel uncertainty, passengers should not be forced to choose between their money and their health. The Cash Refunds for Flight Cancellations Act corrects this problem by giving consumers an enforceable right to a cash refund for flights cancelled by the airline or tickets cancelled by the passenger.
“Enough is enough: Travelers are sick of wasting their valuable time fighting the airlines to receive their legally-required cash refunds,” said Senator Markey. “And they are tired of making flight reservations months in advance, only to face a health scare that forces them to choose between cancelling a nonrefundable flight, or traveling and risking the health of their fellow passengers. Just as hotels often allow consumers to cancel their reservation and receive a full refund, the Cash Refunds for Flight Cancellations Act would extend a similar requirement for air travel. These airlines must get their heads out of the clouds and deliver the effective and accountable service that travelers deserve.”
“Flight cancellations are happening all too frequently,” said Rep. Cohen. “My flight was canceled just last week. The flying public does not expect or want to get credits when the airlines are the cause of the cancellation, especially when they already benefited from a multibillion-dollar bailout from American taxpayers. Our bill remedies this situation and restores some needed consumer protections for air travelers.”
“This measure will put money back into the pockets of consumers suffering from airline travel chaos,” said Senator Blumenthal. “Faced with record delays and cancellations, travelers deserve their money back in cash—not airline vouchers—when their plans are unexpectedly upended. By requiring full cash refunds, our legislation is an important first-step towards airline accountability and restoring reliability and fairness to Americans’ air travel experiences.”
“This bill is a common-sense step to lighten the burden on air passengers who have faced particularly stressful travel conditions since the start of the COVID-19 pandemic,” said Senator Whitehouse. “It’s bad enough to miss out on vacation time when your flight gets cancelled or an emergency pops up. You shouldn’t also have to fight tooth and nail with an airline for your legally required cash refund.”
“It’s time to hold the airlines accountable, because travelers shouldn’t pay the price for flight delays and cancellations. Customers should be able to receive cash refunds instead of company credit or miles they may not be able to use, and this bill is about ensuring they get what they are owed without spending hours in line or on the phone,” said Congressman García. “ As travelers face increasing uncertainty at the airport, this bill will add much needed accountability for airlines and peace of mind for customers.”
“After receiving a historic pandemic bailout in 2020, the airline industry has repaid a lot of consumers and taxpayers with ruined vacation plans and demeaning customer service standards,” said Rep. Raskin. “I’m thankful to my colleagues in both the House and the Senate for joining me to introduce this much-needed legislation to guarantee that consumers can receive a cash refund for flight cancellations or delays. Our bill also provides new flexibilities to travelers by guaranteeing them a cash refund for any flights they choose to cancel, within two days of departure. We need to restore efficiency, civility and decency to interstate travel, and the airline industry should strive to provide effective, reliable service to the American people. This legislation is a crucial step in ensuring that airlines hold up their end of the bargain.”
In June of this year, the AP reported that airlines that are under scrutiny for widespread flight disruptions renewed their criticism of the government agency that manages the nation’s airspace, saying that understaffing at the Federal Aviation Administration is “crippling” traffic along the East Coast.
Airlines for America, which represents the largest U.S. carriers, said in June that they were concerned about FAA staffing and wanted to “plan accordingly.”
“The industry is actively and nimbly doing everything possible to create a positive customer experience since it is in an airline’s inherent interest to keep customers happy, so they return for future business,” Nicholas Calio, president of the trade group, said in a letter to Transportation Secretary Pete Buttigieg.
Calio said airlines have dropped 15% of the flights they originally planned for June through August to make the remaining flights more reliable, they are hiring and training more pilots and customer-service agents, and giving passengers more flexibility to change travel plans.
The AP reported that Calio said air traffic is often disrupted “for many hours” because bad weather causes the the FAA to issue delays.
“However, we have also observed that FAA (air traffic control) staffing challenges have led to traffic restrictions under blue sky conditions,” he added, according to the AP report.
The FAA shot back, with a reference to taxpayer money that airlines received after the pandemic devastated air travel.
“People expect when they buy an airline ticket that they’ll get where they need to go safely, efficiently, reliably and affordably,” the FAA said in a statement, as was reported by the AP. “After receiving $54 billion in pandemic relief to help save the airlines from mass layoffs and bankruptcy, the American people deserve to have their expectations met.”
