Transport Minister Omar Alghabra said Tuesday the federal government will close a loophole that allows airlines to deny customers compensation for cancelled flights.
The reform will come as part of an overhaul of passenger rights to be tabled in Parliament this spring, he said at a press conference.
Asked whether he would end the exemption that lets carriers reject compensation claims by citing safety issues, Alghabra answered in the affirmative.
"The short answer is yes. We are working on strengthening and clarifying the rules to ensure that we make a distinction," he said.
"Obviously we don't want planes to fly when it's unsafe to do so. But there are certain things that are within the control of the airlines, and we need to have clearer rules that puts the responsibility on the airlines when it's their responsibility."
Alghabra's pledge came during a press conference at Toronto's Pearson airport this morning, where he promised $76 million to reduce the backlog of complaints at the Canadian Transportation Agency.
The money will allow the transport regulator to hire 200 more employees who can chip away at the 42,000 complaints currently filed there, he said.
The announcement comes after the government granted an additional $11 million to the agency in last year's budget — shortly before travel chaos erupted over the summer as flight demand surged, prompting another wave of complaints.
The compensation loophole in Canada's Air Passenger Protection Regulations does not exist under European rules.
The latter require compensation on top of refunds if an airline cancels a flight for any reason that falls under its control, which covers most situations except for strikes, extreme weather or war. In Canada, a last-minute cancellation or significantly delayed flight triggered by an event within the airline's control also triggers a refund — except in the case of safety-related concerns.
This report by The Canadian Press was first published March 14, 2023.
— With files from Maan Alhmidi in Toronto.
Christopher Reynolds, The Canadian Press
