Air Canada said it has refunded nearly $1 billion to customers since Jan. 1, 2020 (The Canadian Press)

Air Canada revises refund policy amid growing anger over cancelled flights

Air Canada said it has refunded nearly $1 billion to customers since Jan. 1

Air Canada is revising its cancellation policy amid mounting customer frustration, offering travellers the option of a voucher with no expiration date or Aeroplan points if the airline cancels their flight due to the COVID-19 pandemic.

The airline says the new policy — the previous one capped travel vouchers at 24 months, with no Aeroplan option — applies to non-refundable tickets issued up to the end of June, with an original travel date between March 1 and June 30.

Air Canada’s fresh tack comes as consumer advocates and thousands of passengers continue to demand their money back for services they paid for but have not received.

Three petitions with more than 89,000 signatures are calling for full refunds to be implemented before financial aid is handed out to airlines, two of which were presented to the House of Commons over the past 11 days.

Cathy Maltese, who was booked on an Air Canada flight from Toronto to Orlando, Fla., over the March break with her three children, said she is “extremely disappointed” with how the airline has treated customers.

“At least now my family has the option of travelling when it is safe again and don’t have to worry about the time running out for us,” Maltese said in an email.

“To garner trust and respect again, they also have to give customers the option of a refund. There are many families struggling right now to put food on the table,” she said. “Why should they lose that money?”

Air Canada said it has refunded nearly $1 billion to customers since Jan. 1, largely to travellers who paid for refundable tickets.

“While the world is making great progress against COVID-19, we know we must remain vigilant, which includes being flexible,” chief commercial officer Lucie Guillemette said in a release Friday.

The loyalty points option allows customers to convert their booking into Aeroplan miles “and get an additional 65 per cent bonus miles,” she said.

Toronto resident Bob Scott, who launched a petition presented to Parliament last week by Liberal MP Yasmin Ratansi, said passengers are “becoming increasingly angry at what they see as the government’s complicity in the daylight robbery being committed by the airlines.”

Canada is out of step with the United States and the European Union, he noted, where officials have ordered airlines to reimburse customers for cancelled flights. The Canadian Transportation Agency chalks up the difference to U.S. and EU legislation establishing a “minimum obligation” to refund that Canada lacks.

None of Canada’s major airlines touts policies offering to return cash to passengers for the hundreds of thousands of flight cancellations since mid-March, opting instead for vouchers — typically with a timeline of two years.

Pressed on the issue Thursday at his daily media conference, Prime Minister Justin Trudeau said the government needs to have “some very careful discussions with airlines” as well as Canadians to maintain a balance where travellers are “treated fairly” and the sector stays intact.

Passenger rights advocate Gabor Lukacs said the law requires airlines to refund customers, adding that fares may well go up in the coming year, reducing the value of travel credits.

“Air Canada continues to skirt its obligations to refund the approximately $2.6 billion dollars it owes to passengers,” Lukacs said in an email.

Airlines have been sending repatriation flights and offering customers vouchers, but typically they advertise no refund policies for cancelled routes.

WestJet’s website highlights future travel credit for cancelled flights, but says: “We are not processing refunds to original form of payment at this time.”

The disclaimer comes despite the company’s tariff — the contract between airline and passenger — which states that “the unused portion of the passenger’s ticket(s) will be refunded” in the same form as it was purchased, “should the alternate transportation proposed by the carrier not meet the passenger’s satisfaction.”

On Friday, Air Canada also said it will bolster its summer schedule, which nonetheless remains more than 50 per cent smaller than last year as the COVID-19 pandemic continues to pound the airline industry.

The 97 destinations compare with 220 last summer but mark an improvement from the past six weeks, when 95 per cent of its flights were still suspended.

Christopher Reynolds, The Canadian Press

Like us on Facebook and follow us on Twitter.

Want to support local journalism during the pandemic? Make a donation here.

Air CanadaCoronavirus

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

COLUMN: Books come back with curbside pickup

Okanagan Regional Library begins first phase of reopening process

A second wave of COVID-19 is probable, if history tells us anything

B.C.’s top doctor says that what health officials have learned this round will guide response in future

Golden police seek Good Samaritan after house fire

An unidentified individual may have saved lives in the early-morning fire.

Revelstoke lawyer uses her good fortune to help others

For Melissa Klages, lawyer and owner of Arrow Law Corporation, being a… Continue reading

Revelstoke maternity team keeps mom grounded during COVID-19

Melyssa Hudson gave birth to her second child April 29

Trudeau to seek 10 days of paid sick leave for Canadian workers, says talks are ongoing

Paid sick leave is key to keeping COVID-19 spread under control, prime minister says

Power knocked out for 1,700 Lake Country residents

BC Hydro crews on scene to restore the outage

Commercial rent relief applications open as feds encourage landlords to apply

Program would see government cover 50 per cent of the rent

Truck thief runs out of gas in North Okanagan

Pickup stolen from Coldstream, found not far away

COVID-19: B.C. park reservations surge as campgrounds reopen

Keep trying, many sites not reservable, George Heyman says

Okanagan film society screening for scholarships

North Okanagan students pursuing creative arts can apply for $2,000 bursaries

B.C. residents can now reserve a provincial campsite for a stay starting June 1

Campsite reservations will only be available to British Columbians

Cullen commission into money laundering in British Columbia resumes today

Inquiry was called amid growing concern that illegal cash was helping fuel real estate, luxury car and gambling

Most Read