Canadians could get money back for unused air tickets

The condition is likely to be included in a new deal currently under discussion between airline industry and Ottawa

Canadians could get money back for unused air tickets
Steve Randall

Canadian airline customers whose flights were cancelled due to the pandemic, could get their ticket price refunded as part of a government support deal.

The federal government is talking with the airline industry about a potential support package for the severely-disrupted businesses that have seen passenger numbers plummet in 2020.

Any deal is expected to include conditions such as refunds for consumers according to transport minister Marc Garneau.

Although passengers were given credits or vouchers for cancelled flights, this has prompted thousands of complaints to the Canadian Transportation Agency – and lawsuits - from consumers who want their money back instead.

"We are ready to establish a process with major airlines regarding financial assistance which could include loans and potentially other support to secure important results for Canadians," Garneau said at the weekend. "We anticipate beginning discussions with them this week."

Refunds have been required by several international regulators including those in the US and Europe.

Help is essential
The plight of the airline industry was highlighted in a statement from the National Airlines Council of Canada.

“All measures have been taken to reduce costs, and revenue has fallen beyond the means of even the most extreme cost-cutting measures to address,” said Mike McNaney, the trade group’s chief executive officer. “The industry will not recover without strong federal leadership.”

Negotiations between government and industry chiefs are expected to continue this week.

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