Trump Administration Withdraws Flight Delay Compensation Plan
URGENT UPDATE: The Trump administration has just announced the formal withdrawal of a proposed plan that would have required airlines to compensate passengers for delays. This decision, confirmed by the U.S. Department of Transportation (USDOT) on Friday, reverses a December 2024 initiative from the Biden administration aimed at mandating cash payments of between $200 and $300 for domestic delays exceeding three hours, and up to $775 for longer disruptions.
The USDOT claims that implementing these rules would impose “unnecessary regulatory burdens” on airlines. This announcement comes after an earlier indication in September that the proposal would be rescinded. The decision has sparked immediate backlash, with a coalition of 18 Democratic senators, including Richard Blumenthal and Maria Cantwell, urging the administration to reconsider.
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When an airline’s mistake imposes unanticipated costs on families, the airline should try to remedy the situation by providing accommodations to consumers and helping cover their costs,”
the senators stated in a letter. Currently, while U.S. airlines are required to refund passengers for canceled flights, they are not obligated to provide compensation for delays — a stark contrast to regulations in the European Union, Canada, Brazil, and the UK.
The USDOT’s decision allows airlines to “compete on the services and compensation that they provide to passengers,” instead of adhering to new minimum requirements. This move has garnered praise from the airline industry, which has long advocated for reduced regulatory oversight.
Moreover, the USDOT is revisiting a range of other regulations, including the Biden-era requirements for airlines to disclose service fees alongside airfares and redefining what constitutes a flight cancellation eligible for refunds.
As travelers continue to face disruptions, the implications of this withdrawal raise significant concerns regarding consumer protections in the airline industry. With no large U.S. airline currently offering compensation for substantial delays, passengers may feel the impact of this policy change keenly.
What’s Next: As this situation develops, consumers and advocates will be closely monitoring further actions from the Trump administration and the USDOT regarding airline regulations. Stay tuned for updates on how this decision may affect travel plans across the country.
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