Air Canada Refuses to Reveal State of Passenger Refunds Despite Seeking Bailout Package: Advocacy Group

One consumer advocacy group suggests that Air Canada has not been forthright about its customer refunds, despite still requesting financial aid from the federal government.

Over the past several months, a number of Canadian airlines have been locked in talks with the federal government regarding the terms of a bailout for the sector. A key issue that has been at the forefront of discussions is been the subject of passenger refunds, with the government saying that all public financial support would be contingent on travelers receiving refunds for cancelled flights. However, according to consumer rights group Air Passenger Rights, Air Canada has yet to reveal the status of its customer refunds to the public, all meanwhile requesting vital financial support from Ottawa.

The head of Air Passenger Rights, Gabor Lukacs, said that Air Canada has not been transparent about the number of passengers that have not received refunds. He insists that the airline should be required to reveal such information, and that it should be a condition for receiving a publicly funded bailout. “If they want public money, they have to cough up information,” Lukacs said. “You cannot have it both ways.”

Conversely however, Air Canada managing director for government and community relations, David Rheault, stated that reporting such information could be commercially sensitive to the company. Air Canada has thus far maintained that it is not required to issue refunds, and instead must use the cash to preserve liquidity for when air travel demand picks up following the pandemic. However, Rheault did note to Ottawa MPs on Thursday that the airline will issue refunds only if it receives a federal bailout.

Back in December, Canada’s federal government advised the Canadian Transportation Agency, which is in charge of dealing with issues related to passenger rights, to bolster rules that force airlines to refund customers for cancelled flights. However, the conditions would not apply to previously cancelled flights, and instead only be applicable to forthcoming cancellations.


Information for this briefing was found via The Canadian Press. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

2 Responses

  1. I’m still having trouble just getting a voucher as Expedia will not tell me what my itinerary # was and air canda won’t except the booking number.

Video Articles

Four Countries Control the Fertilizer That Feeds the World | Sage Potash

$10,000 Gold Is Just A Question of Time | Florian Grummes

What Happens If Silver Finally Breaks $50? | Gary Thompson – Silver47

Recommended

Emerita Resources Expands El Cura Drill Program By 10,000 Metres As Deposit Remains Open For Expansion

ESGold Signs MOU For Tailings Project In Colombia With Grades Up To 42 g/t Gold, 280 g/t Silver

Related News

98% of Air Canada Pilots Vote for Strike Authorization as Wage Gap Persists

Air Canada pilots have voted overwhelmingly in favor of strike authorization, with 98% of voting...

Friday, August 23, 2024, 10:19:00 AM

Delta Airlines Resorts to Frequent Flyer Program to Back $6.5 Billion Loan As US Air Travel Remains 74% Below Pre-Pandemic Levels

With no end in sight to the coronavirus pandemic, the demand for air travel remains...

Tuesday, September 15, 2020, 12:55:00 PM

Global Air Travel Demand Will Not Reach Pre-Pandemic Levels For At Least 3 Years: Moody’s

Despite many airlines eager to see air travel reinstated and quarantine rules eased, the continued...

Tuesday, July 21, 2020, 07:31:00 PM

WestJet Threatens More Route Cuts in Response to Trudeau’s Covid-19 Rules

With coronavirus cases continuing to rise across Canada, Prime Minister Justin Trudeau recently announced that...

Saturday, January 16, 2021, 11:30:00 AM

IATA Expected to Launch Covid-19 Travel Pass by March

The International Air Transport Association (IATA) recently announced that it will launch its official Covid-19...

Thursday, February 25, 2021, 11:54:00 AM