Trump Administration Reverses Biden's Airline Compensation Plan

The Trump administration has officially withdrawn a proposal set by the Biden administration to mandate airlines to compensate passengers for flight disruptions caused by the carriers. This decision was revealed in a document posted by the White House, emphasizing a shift towards aligning with current administration priorities.

Initiated in December under Biden's administration, the proposal aimed to require airlines to pay between $200-$300 for domestic delays stretching beyond three hours, and up to $775 for extended delays. However, U.S. airlines described the plan as impractical and suggested it would lead to increased ticket prices.

Currently, while U.S. airlines are obliged to refund passengers for canceled flights, compensation for delays remains unmandated. Major airlines committed in 2022 to cover expenses like meals and hotel stays for significant disruptions, but such measures fall short of the more comprehensive compensation rules enforced in regions like Canada and the European Union.

(With inputs from agencies.)