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EU Proposal Sparks Warnings Among Consumers Regarding Compensation for Flight Delays Adjustments

Increase in Demanded Threshold Markedly Rises

EU Proposal for Limited Flight Delay Compensation Draws Criticism from Consumer Rights Groups
EU Proposal for Limited Flight Delay Compensation Draws Criticism from Consumer Rights Groups

Flights Delay Compensation Changes on the Horizon: What Travelers Need to Know

EU Proposal Sparks Warnings Among Consumers Regarding Compensation for Flight Delays Adjustments

A forewarning from consumer watchdogs has been issued regarding a potential alteration in EU regulations for flight delay compensation. André Duderstadt, the passenger rights representative at the Federation of German Consumer Organizations (vzbv), expressed concerns that passengers facing genuine hardships could be left with nothing if the planned reform comes to pass.

The European Commission's ideas from 2013 are back on the table, which aim to hike up the compensation threshold significantly. Currently, travelers are entitled to a flat rate payment once delay exceeds three hours. Under the proposed changes, this compensation would only be due from five hours of delay, and for long-distance flights, even up to twelve hours.

As of now, the reform remains undecided. At a recent meeting, the 27 EU countries failed to reach an agreement on the changes. The current presidency, Poland, is spearheading the negotiations and hopes for an agreement during the EU transport ministers' meet on Thursday in Luxembourg. A compromise might differ from the Commission's suggested changes. Reportedly, Germany has tabled a counter-proposal, maintaining the three-hour threshold but lowering the compensation average to 300 euros.

Duderstadt supports this proposal to an extent, stating that it will uphold the rights of passengers entitled to compensation today. The vzbv remains firm in its advocacy for higher compensation, believing that the discussion is far from over. If a majority of the 27 countries approve the changes on Thursday, negotiations with the European Parliament will follow, likely in the fall.

Background Information:

  1. Passengers are meant to receive compensation ranging from €250 to €600 for delayed flights exceeding three hours, with the sum depending on the flight's length and delay duration.
  2. The proposed changes would potentially extend the time before compensation is due, resulting in longer delays before passengers become eligible for compensation.
  3. These changes aim to give airlines more time to address disruptions such as locating replacement aircraft or crew due to mechanical issues.
  4. Consumer advocates, like the European Consumer Organisation (BEUC), are critical of these proposals, warning that altering compensation thresholds could deprive a significant number of passengers of their rights and erode trust in the airline industry.
  5. Proposed changes aim to give airlines more time to recover from disruptions and strike a balance between passenger rights and airline operations.
  6. The proposed employment policy by the European Commission, as part of the flight delay compensation changes, could impact the finance sector by potentially reducing compensation payouts to travelers, altering the business model of travel insurance companies that offer flight delay coverage.
  7. The ongoing negotiations among the 27 EU countries on the changes in flight delay compensation policy also have political implications, as the outcome could affect the trust and satisfaction levels of the community (travelers) with the airline industry and the European Union's capacity to uphold consumer rights.

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