Bailing out airlines and other businesses

The government is considering changing the rules when flights are cancelled so that airlines can issue vouchers instead of refunds.

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Coronavirus response: Air passengers could lose refund right under Government plans

Shane Ross seeks measures to help alleviate pressure on airlines and travel companies
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Long standing rules governing the rights of air passengers look set to be shelved at least temporarily as Minister for Transport Shane Ross considers giving the green light to plans which would allow airlines issue vouchers instead of refunds if flights are cancelled.

The Department of Transport is assessing proposals to help travel agents and tour operators during “these exceptional times”, a spokesman said.

Mr Ross has asked for a set of measures which he hopes will alleviate the financial pressures on companies, to protect jobs and businesses. Among those measures is the use of vouchers or credit notes for customer refunds
 
Brendan Burgess said:
The government is considering changing the rules when flights are cancelled so that airlines can issue vouchers instead of refunds.

www.irishtimes.com

Coronavirus response: Air passengers could lose refund right under Government plans

Shane Ross seeks measures to help alleviate pressure on airlines and travel companies
www.irishtimes.com www.irishtimes.com

Long standing rules governing the rights of air passengers look set to be shelved at least temporarily as Minister for Transport Shane Ross considers giving the green light to plans which would allow airlines issue vouchers instead of refunds if flights are cancelled.

The Department of Transport is assessing proposals to help travel agents and tour operators during “these exceptional times”, a spokesman said.

Mr Ross has asked for a set of measures which he hopes will alleviate the financial pressures on companies, to protect jobs and businesses. Among those measures is the use of vouchers or credit notes for customer refunds
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The laws regarding this are set in Europe so I don't think Shane Ross or the government will be able to anything about it on their own.

The airlines have previously appealed to the European Commission for a change and were turned down. They will probably try again.

www.iata.org

Airlines Disappointed with European Commission Guidelines on EU261

IATA and Airlines for Europe (A4E), reacted with dismay to the European Commission’s new guidelines on the application of the EU261 passenger rights regime
www.iata.org www.iata.org
 
In the US, where airlines have attempted to issue vouchers instead of refunds to preserve cash, the US government has issued a directive instructing US airlines to refund customers. This approach will most likely result in the airlines needing more cash from the bailout programme.
 
I do not think people will be happy about this proposal. I know I will not be anyway.Why not give the refunds as when this is over many people will be booking flights so they , the airlines, are not going to lose out .
 
Ryanair have now already gone with the ,no refund,policy. You can now just change your flight without any charge for changing. You can only book a flight within 3 months but you pay the difference of the price and you can only book a flight to the destination where you were booked to go. But no refund. What do people think of that ?
 
We were due to fly in May and this is an email i received this morning about my flight . They did not actually say it is cancelled but it can be changed...
 
joer said:
They did not actually say it is cancelled
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It's not cancelled. Yet.
If it gets cancelled, they'll refund. That's how they've been operating to date. I haven't seen any change in their policy.
 
Etihad has cancelled our flights for April 18 from Dublin too the Philippines.the only choices they are giving is a travel credit or a once off free re booking.we are looking at the travel credit at this time but would rather a full refund due too them cancelling it.
 
Their actual words are , we are offering you the following options in relation to your booked flight. They are as described above.
 
Back on topic; The State should only give money to publicly quoted companies in exchange for shares in those companies.
Money given to private companies should be in the form of loans, even if they are as a zero interest rate.
 
Ryanair has enough zealots of its own to try and screw honest people out of hard earned money already and championed by their money grabbing boss. I don't believe in giving them a cent of public money. If Ryanair lived by the sword, it should die by the sword.
 
Leper said:
Ryanair has enough zealots of its own to try and screw honest people out of hard earned money already and championed by their money grabbing boss. I don't believe in giving them a cent of public money. If Ryanair lived by the sword, it should die by the sword.
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What makes them any different from any other airline, other than their success and strong financial position?
 
Leper said:
If Ryanair lived by the sword, it should die by the sword.
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I don't believe Ryanair have asked for any financial assistance? They're sitting on enough cash to ground their entire fleet for a long period. Ryanair are actually on the other side of this one, and want to make sure that any state aid to other airlines doesn't distort competition.
The calls for state aid are mainly from the typically larger carriers, particularly those that fly long haul and have massive debts. Have a look at who's providing refunds Vs vouchers for cancelled flights.
 
Purple said:
What makes them any different from any other airline, other than their success and strong financial position?
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It has been proved that they flout the laws of some countries e.g. charging for"duty free" shopping brought on board the aircraft.
 
One thing that needs to stop are the huge share buyback programmes by European and American airlines when they are enjoying a successful cycle. Aviation is an extremely cyclical business and we seem to be a position where Airlines are giving cash to shareholders in good times and then a crisis hits, they are suddenly cash strapped. If industries like banking need cyclical buffers, then aviation industry does too. Especially for systemically important airlines.
 
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