The federal government has announced an increase in the maximum fine that can be imposed on airlines for repeated violations of the air passenger bill of rights to $1 million. Transport Minister Steven MacKinnon revealed this decision during a recent news conference, stating that financial penalties are a last resort to deter clear breaches of regulations. The air passenger protection regulations (APPR), which came into effect in 2019, require airlines to compensate passengers for delays or cancellations within their control.
Under the current regulations, airlines found repeatedly violating these rules face a maximum fine of $25,000. However, a proposed change in the penalty to $250,000 is pending implementation. Ian Jack from the Canadian Automobile Association expressed concerns that the increased fine could be ineffective without proper enforcement.
The Canadian Transportation Agency (CTA), responsible for resolving disputes between airlines and passengers, is grappling with a backlog of 95,000 air passenger complaints. To address this issue, the government plans to outsource the resolution process to a neutral third-party organization, following models from the U.K. and EU systems.
While Air Canada has initiated a pilot program to transfer air passenger complaints to a third party, Jack emphasized the need for regulatory simplification to expedite the resolution process. The government aims to streamline the regulations to enhance clarity and efficiency for passengers filing complaints.
Despite delays in implementing new regulations proposed by the CTA, Minister MacKinnon prioritizes clearing the existing backlog to ensure fair outcomes for complainants. Jack raised concerns about the sustainability of the current system and urged swift action to prevent further backlog growth.
In conclusion, the government is focused on resolving the backlog of air passenger complaints and improving the regulatory framework to better serve passengers and airlines in the future.