The federal government has announced an increase in the maximum fine that airlines can face for repeated violations of the air passenger bill of rights to $1 million. Transport Minister Steven MacKinnon disclosed this during a recent news conference, emphasizing that financial penalties are reserved for clear breaches to deter future occurrences.
The air passenger protection regulations (APPR) were implemented in 2019, mandating airlines to compensate passengers for delays or cancellations within their control. Airlines found repeatedly violating these regulations can currently be fined up to $25,000, with a proposed increase to $250,000 pending implementation from changes introduced in the 2023 budget.
Ian Jack from the Canadian Automobile Association expressed skepticism about the effectiveness of the increased fines without consistent enforcement. The Canadian Transportation Agency (CTA) has been struggling with a backlog of 95,000 air passenger complaints since the introduction of the bill of rights.
To address the backlog, the government plans to outsource the resolution process for air passenger complaints to a neutral third-party organization, drawing inspiration from systems in the U.K. and EU. While Air Canada has already initiated a program to transfer complaints to a third party, Jack highlighted the importance of simplifying regulations to expedite resolutions.
MacKinnon acknowledged the need to streamline the system, stating that the current process is cumbersome and time-consuming. Despite proposed regulations in late 2024 and ongoing consultations, the new rules have yet to be enforced. While MacKinnon prioritizes clearing the backlog, Jack emphasized the importance of implementing simplified regulations to prevent further accumulation of complaints.