Government unveils draft aviation customer rights charter airlines will be legally required to obey

Airlines will face penalties for losing passengers’ bags or failing to provide refunds under Australia’s first aviation customer rights charter to be introduced in the New Year.

Under a new charter, airlines will face penalties for losing passengers’ bags or failing to provide refund. Picture: istock

Airlines will face penalties for losing passengers’ bags or failing to provide refunds under Australia’s first aviation customer rights charter to be introduced in the New Year.

Transport Minister Catherine King has released a draft six point charter which she says will deliver the “strongest ever protection for Australian travellers”.

Among the proposed customer rights included in the charter, is the right to prompt and fair remedies in the event of cancellations, delays and disruptions; the right to safe and timely baggage handling and the right to accurate, timely and accessible information and customer service.

Airlines will also be required to treat customers with dignity and respect in an accessible and inclusive environment; protect personal information and provide mechanisms for feedback and complaints to allow passengers to exercise their rights without retribution.

The charter falls short of a European Union-style compensation system for flight cancellations and delays, but requires airlines to provide refunds or assistance to rebook a flight, if the service is disrupted or delayed for more than three hours.

Airlines must also provide meals, accommodation and transfers for disrupted passengers, and pay refunds for cancelled flights within 14 days, in the original form of payment.

Transport Minister Catherine King said the charter was an initiative of the aviation white paper, and would make clear “what has been hiding in fine print for far too long”.

“It will give Australians greater certainty about what they can expect when flying in Australia and where to go if these conditions are not met,” said Ms King.

“The Australian flying public deserve to be treated with dignity and respect, and this includes receiving timely and fair remedies when their flight is cancelled or delayed, and protecting those who require assistance.”

Transport Minister Catherine King says an aviation customer charter of rights will deliver the ‘strongest ever protection for travellers”. Picture: Lachie Millard

She said the charter would form part of the new Aviation Industry Ombuds Scheme, and be overseen by the ombudsperson who will have powers to determine how customer disputes are resolved.

Legislation setting out how the scheme will be enforced including the penalties regime, is expected to be introduced into parliament next year with a regulator to be appointed to oversee the fines.

The move followed submissions to the aviation white paper, that showed customers were dissatisfied with the performance of airlines in handling flight cancellations, delays, refunds and complaints resolution.

“We’re delivering the strongest ever protections for Australian travellers to ensure passengers get what they pay for or get their money back,” Ms King said.

The ombuds scheme and rights charter was expected to replace the industry-led dispute resolution body, the Airline Customer Advocate, which has been criticised by the Australian Competition and Consumer Commission as well as Choice.

In the last year, the Advocate managed to resolve only 37 per cent of complaints, down from 43 per cent the previous year.

In the same period, complaints increased 9 per cent to 1408 compared to 2022, but that was in line with passenger growth.

Virgin was the subject of most complaints followed by Jetstar and Qantas, with refund requests the most common issue for customers, ahead of flight delays or cancellations.

Feedback on the draft aviation consumer rights charter is invited from Sunday until February 28.

Originally published as Government unveils draft aviation customer rights charter airlines will be legally required to obey