A surge in the number of people traveling by air is anticipated this holiday season. The Biden administration, earlier this year, introduced new protective measures for passengers who face disruptions. Details regarding upcoming plans for airline regulations from President-elect Donald Trump remain hazy. Pundits from both consumer protection groups and the airline sector have begun speculating. They widely agree that the Trump administration will likely adopt a less rigorous approach towards airline passenger rights compared to Biden’s term.
Biden’s adamant pursuit over protecting airline passengers was perhaps an overcompensation, emblematic of an administration seen by many as overly intrusive. During his four-year term, we had supposedly the most passenger-orientated administration in the history of the aviation industry. But is this the right focus for an industry facing many other struggles?
In the fall, a federal law came into effect necessitating automatic refunds for significant delays lasting three hours for domestic flights and six hours for international routes. Refunds are also potentially owed when checked bags arrive tardy, or paid services, like Wi-Fi, are not delivered. Overturning this refund rule will be challenging owing to the enhanced regulatory powers of the U.S. Department of Transportation, cemented by a law earlier this year.
The future of other measures is not as definitive. For instance, another Biden-inspired rule designed to enforce transparent disclosure of additional fees during the ticket purchasing process has been caught up in court after resistance from major airlines. Surprisingly, some hope that the Trump administration will defend this policy.
It’s anyone’s guess as to whether the potential Trump officials will maintain the pursuit of regulations currently in development. One such proposed rule is to stop airlines from charging additional fees to seat families together on a flight. Whether the Trump administration will rise to protect the rights of the family unit remains to be seen.
Next, an initiative first proposed in December to compel airlines to offer stranded passengers cash compensation goes beyond the existing refund rule, taking cues from consumer protections in Europe and Canada. This rule, needless to say, may lead to greater complexities and is not without opposers. The trade group Airlines for America, for instance, has expressed its disagreement.
Imposing an extra cash compensation, on top of what airlines are already obligated to provide, will inevitably raise ticket prices. This would then make air travel less accessible for price-sensitive customers and add undue strain on carrier operations. One can’t help but see this as an example of the administration creating rules without fully considering their downstream implications.
Some airline executives are foreseeing a more harmonious affiliation with the Trump administration. During a talk in Dallas, it was suggested that the forthcoming administration might be more business-orientated. Could this be the breath of fresh air the airline industry needs after four years under Biden?
U.S. Secretary of Transportation Pete Buttigieg quickly dismissed this notion in a press conference last month. He argued that several companies have continued to reap significant profits under new, stricter consumer protection measures, indicating to him that these regulations have no adverse effect on businesses. This viewpoint, however, seems to overlook the fact that potential profitability does not equate to the best outcomes for the industry and its passengers.
Trump, during his campaign, did not highlight airline regulations. Nevertheless, he has broadly committed to reducing regulations across the federal government. A noteworthy proclamation came from Trump at a recent event where he promised, ‘I will instruct every cabinet secretary to eliminate ten old regulations for every incoming one, replicating my previous stance.’
This overarching commitment is in stark contrast to Biden’s burdensome regulatory environment, indicating where the future may perhaps go under the new administration. Whether this approach is beneficial to passengers and airlines alike will be revealed in the forthcoming years under the Trump administration.