This airline will be billed $790 for each customer complaint resolved

In a bold move to streamline passenger complaint resolution, Canada’s transport regulator has proposed a new policy that would charge airlines $790 CAD (~$583 USD) for each customer complaint it resolves.

This initiative, announced by the Canadian Transportation Agency (CTA), aims to alleviate the agency’s record-high backlog of air travel complaints, currently sitting at approximately 78,000 cases.

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On Wednesday, the CTA launched a one-month consultation period to gather feedback on these proposed reforms, which would apply to valid customer complaints that the agency processes and settles. According to the agency, it anticipates resolving over 22,600 complaints annually, translating to about $17.9 million in fees levied against airlines.

The government hopes to recoup approximately 60% of the costs associated with handling these complaints, which are projected to reach $29.8 million annually. The bulk of these expenses stems from salaries and benefits for the agency’s resolution officers.

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Critics of the proposal, including passenger rights advocate Gabor Lukacs, argue that the measure may not be sufficient to deter airlines from rule-breaking, stating it comes “too little, too late.” The CTA contends that the fee structure aims to provide a financial disincentive for airlines, potentially leading to improved compliance and better service for travelers.

The CTA’s proposal underscores the ongoing frustrations faced by passengers in Canada’s air travel system, as the demand for more effective complaint resolution processes continues to rise amid unprecedented travel disruptions.