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The nation’s largest airlines are lobbying the US Department of Transportation (DOT) to roll back nearly every major consumer protection currently in place for airline passengers. If successful, travelers could lose access to vital information such as delay statistics, fare transparency, and even the right to cash refunds for canceled flights. This is corporate greed at its finest and could become a reality with how cozy some airline CEOs have been with the Trump administration.
The lobbying effort is being led by Airlines for America (A4A). This powerful trade group represents major carriers including American, Delta, United, Southwest, Alaska, and JetBlue. In a 93-page filing submitted quietly to the DOT earlier this year, A4A outlined sweeping proposals to “re-deregulate” the airline industry. The DOT opened the public comment period on April 2nd, with a deadline of May 5th. The process drew little public attention, but within the airline industry it sparked an intense push to reshape passenger protections behind closed doors.
The most controversial parts of the proposal includes:
- Eliminating Cash Refund Rules: Airlines want to overturn 2024 rules introduced under former Transportation Secretary Pete Buttigieg requiring automatic refunds for significantly delayed or canceled flights. These rules were seen as the biggest win for passengers in decades and held airlines accountable.
- Ending Fee Transparency: The group seeks to roll back regulations that require airlines to clearly disclose baggage and other “junk fees” at the time of booking. A4A argues the current rules are “government overreach.” Lawsuits over hidden fees are still pending.
- Scrapping Family Seating Protections: Current policies ensure families can sit together without paying extra. A4A has called for eliminating these rules.
- Silencing State Oversight: A4A wants to terminate agreements allowing state attorneys general to help address airline passenger complaints.
- Reducing Data Transparency: The DOT’s monthly Air Travel Consumer Report, which is the only independent source tracking delays, cancellations, complaints, and mishandled baggage, would be dramatically scaled back. This would make it nearly impossible for passengers to compare airline performance.
Critics point out the irony of airlines seeking deregulation after receiving $54 billion in taxpayer-funded aid during the COVID-19 pandemic. Despite airlines claiming to have paid $43 billion in refunds from January 2020 to December 2023, many of these passengers only saw them processed after federal intervention.
The lobbying push comes as Trump’s administration pursues a policy of eliminating 10 regulations for every new one introduced. Airlines have framed their proposals as a way to “unleash a golden age of air travel” through reduced oversight. Supporters of deregulation argue that competition, not government rules, should guide consumer choice. But opponents warn that without transparency, passengers will be left in the dark.
During the 2024 CrowdStrike outage, Delta Air Lines initially resisted reimbursing customers for rebooking on other carriers until the DOT forced compliance. Consumer advocates fear similar situations will go unchecked if oversight is removed.
What Travelers Stand to Lose
If A4A’s proposals are enacted, passengers could face:
- No guaranteed refunds for canceled flights
- No upfront disclosure of baggage and other fees
- No access to data on delays, cancellations, or complaints
- Limited recourse for poor treatment or disability-related issues
- Fewer options for families to sit together without extra costs
Consumer rights groups, including the American Economic Liberties Project, are urging travelers to submit comments to the DOT before final decisions are made. To provide feedback or learn more about the rule-making process, consumers can visit the DOT’s public comment portal, here.
Anthony’s Take: It’s not surprising that the airlines would push to lose regulations that cost them money. If this is enacted, it’s going to be a wild ride for passengers with virtually no protections, more fees, and higher costs across the board.
(Featured Image Credit: Chalabala via iStock.)
(H/T: Frommer’s.)
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Advertiser & Editorial Disclosure: The Bulkhead Seat earns an affiliate commission for anyone approved through the links above This compensation may impact how and where links appear on this site. We work to provide the best publicly available offers to our readers. We frequently update them, but this site does not include all available offers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed, or approved by any of these entities.
1 comment
This very clearly illustrates that the USA desperately needs a stronger version of EC261 with the same rules and where if an airline fought a claim and lost then they would be responsible for triple the amount plus legal fees.