Consumer NZ delivered a petition to parliament today, signed by more than 10,500 New Zealanders, calling on the government to require airlines to tell passengers their rights when flights are delayed or cancelled.
The petition asks associate minister of transport, James Meager, to use existing powers in the Civil Aviation Act (CAA) to compel airlines to clearly inform passengers of their rights when a flight is disrupted.
Despite amendments made to the CAA last year, giving the minister the power to require airlines to inform passengers about their rights, no action has been taken.
“Thousands of New Zealanders have told us they’re sick of being left in the dark,” says Consumer NZ chief executive Jon Duffy. “When a cancellation or delay is the airline’s fault, passengers have rights. The problem is that, unlike other jurisdictions, airlines don’t have to tell them. That’s unacceptable.
“Right now, there are passengers forking out hundreds of dollars for costs they incur as the result of a disruption, but often it’s the airline that should be covering the cost.”
Passengers left without crucial information
Consumer’s research shows that:
four in ten people who flew in the past 2 years experienced a delay or cancellation
more than three quarters of travellers rely on the airline for information about their rights
nine in ten are not fully aware of what those rights actually are.
Airlines are not required to inform passengers whether a disruption was caused by an event within their control – information that directly affects whether a traveller can claim reimbursement.
“Disrupted passengers are being left out of pocket because they’re not being given the information they need from their airline. Sometimes they are even actively misled,” says Duffy.
The issue was highlighted last year when Jetstar was fined $2.25 million for misleading passengers about their entitlements under the CAA.
The Commerce Commission is also currently investigating whether Air New Zealand has breached the Fair Trading Act in its communications with passengers regarding their rights when flights are delayed or cancelled for reasons within the airline’s control.
A simple fix the minister can make now
Under the CAA, when a domestic flight disruption is caused by an event within an airline’s control – such as staffing, mechanical or operational issues – passengers are legally entitled to:
a refund (assuming they don’t accept another flight)
reimbursement of costs they’ve reasonably incurred because of the disruption – up to 10 times the cost of their ticket or the actual cost of the delay (whichever is lower).
Similar rules exist for international flight disruptions but differ depending on where you are flying from, where you’re heading and where the airline is based.
“The law is complex and most people don’t fully understand it. Over 10,500 people want airlines to tell them their rights when their flights are disrupted. The minister should not ignore them. He already has the power to fix this,” says Duffy.
Notes
Consumer NZ launched the petition in September 2022 after receiving a large volume of complaints from travellers who struggled to find out why their flight was disrupted and whether they were entitled to compensation.
In other countries – including those within the European Union – airlines must proactively tell passengers their rights. Consumer says New Zealanders deserve the same protections.
