Qantas accused of misusing data in delay compensation inquiry

Qantas is facing criticism from the Coalition and consumer advocates for allegedly misusing data to oppose a proposed "pay-on-delay" scheme for delayed airline passengers. This scheme aims to provide compensation similar to one in the European Union. During a Senate hearing on Monday, Qantas's domestic CEO Markus Svensson argued that such laws would raise costs for consumers without reducing flight delays or cancellations. He referenced a 2020 review stating that the EU’s compensation scheme led to increased costs that airlines would pass on to consumers. However, the same review showed that between 2011 and 2018, airline cancellations and delays decreased from nearly 80% to about 70%. The review noted an increase in overall air traffic during that time, which impacted delay statistics. Under the EU scheme, passengers can receive compensation for significant delays or cancellations, depending on the flight distance. For example, delays of over three hours can lead to payments of up to €600 (around A$1,030). Bridget McKenzie, the Coalition's transport spokeswoman, argued that travelers deserve straightforward compensation mechanisms. She criticized Qantas for using selective data to undermine protections for passengers. Consumer advocate Adam Glezer argued that any potential increase in ticket costs would be a reasonable price for the added protections. He highlighted that Qantas already follows similar regulations for its European flights, which help improve consumer trust. Despite the push from the Coalition and consumer groups, the Albanese government has not included a compensation scheme in its recent aviation reforms. Advocates like Bea Sherwood and Victoria Roy emphasized the importance of consumer protection measures similar to the EU's approach. They believe such changes would encourage airlines to manage their operations more responsibly and reduce disruptive practices.