OTTAWA - May 12, 2004 - Canada's Air Travel Complaints Commissioner, Liette Lacroix Kenniff, today released a report in which she makes key recommendations to air carriers and the travel industry to enhance the protection of consumers' interests. In light of the current instability of the airline industry worldwide, which has raised many concerns among Canadians, Liette Lacroix Kenniff is calling for the travel industry to ensure the protection of customers' pre-payments in situations where an airline fails. "I believe that if the airline industry is to keep consumers' confidence, it is imperative that all of the various players in the industry actively begin seeking a timely solution to this problem," Ms. Lacroix Kenniff said. "The risk of airline failure should not rest entirely on the shoulders of consumers." The specific conditions of the first half of 2003 resulted in reduced passenger volumes and a decrease in the number of complaints received by the Air Travel Complaints Commissioner's Office. From January 1 to June 30, 2003, the Commissioner's Office received a total of 603 individual complaints. However, those complaints raised 1,197 separate issues, a 10.1 per cent increase when compared to the previous six-month period. Problems with the quality of service continue to predominate, followed by flight disruptions, ticketing and baggage. "Dissatisfied air travellers continue to appeal to me for assistance in resolving their complaints about carriers that do not meet their expectations," Ms. Lacroix Kenniff noted. "In uncertain times, the difference between success and failure for any business rests on the capacity to maintain consumer confidence by delivering a quality product for a reasonable price." There were a few bright spots during the period of her report. She termed WestJet, for instance, "a bona fide Canadian aviation success story. Judging by the very small number of complaints about WestJet that have been brought to my attention, it has clearly been doing things right from the customers' perspective." On the other hand, her report has a section dedicated to the Air Canada creditors protection situation, which has compelled the Commissioner to suspend her investigations of complaints about that carrier. The Air Travel Complaints Program has received more than 6,250 complaints, involving more than 13,500 issues, from July 5, 2000, to June 30, 2003. The reports of the Air Travel Complaints Commissioner are available on the Internet at www.cta.gc.ca. The Commissioner's Office is part of the Canadian Transportation Agency, a quasi-judicial tribunal that regulates various modes of transportation under Government of Canada jurisdiction, including air, marine and rail. -30- For more information, please contact: Jadrino Huot Senior Communications Adviser (819) 953-9957 To keep up-to-date with our latest news releases and other information, subscribe to our electronic mail service. BACKGROUNDER CANADA'S AIR TRAVEL COMPLAINTS COMMISSIONER'S OFFICE Canada's Air Travel Complaints Commissioner deals with complaints from consumers regarding publicly available air services within, to or from Canada when the consumer has tried resolving the complaint with an airline and is still dissatisfied. The Commissioner and her staff will review the complaint and try to resolve it, either directly or in cooperation with other divisions of the Canadian Transportation Agency or other government bodies. Complaint process A few things must be verified before a complaint filed with the Air Travel Complaints Commissioner can be processed: First, the complaint is examined to determine whether it falls within the jurisdiction of the Air Travel Complaints Commissioner or any other government department or agency. If the latter, it is referred to the appropriate organization and the complainant is notified where it has been sent. If it falls within the jurisdiction of the Air Travel Complaints Commissioner, staff from the Complaints Investigation Division verify that the issue was first raised with the air carrier. If not, the complaint is forwarded to the airline on behalf of the complainant to give the carrier the opportunity to resolve the complaint. If, after dealing with the carrier either directly or through the Commissioner, the complainant is still not satisfied with the way in which the airline dealt with the complaint, the complainant may request that the Commissioner attempt to resolve the outstanding issues. The nature of the complaint and the outcome sought are determining factors in how the Commissioner deals with the complaint. The objective of the Commissioner is to arrive at a solution acceptable to both parties. If, however, the Commissioner is unable to resolve a particular complaint, an analysis of the number and nature of all complaints received will help her report on trends in customer service issues in the airline industry. The length of time that the complaint resolution process takes will depend on the complexity of a complaint, the quality and accuracy of information that is provided to the Commissioner, the willingness of the carrier to negotiate a fair and equitable resolution of the problem within a reasonable time frame, and the type of outcome sought. Contacting Canada's Air Travel Complaints Commissioner's Office The Canadian Transportation Agency's Web site (www.cta.gc.ca) has information on how to file a complaint. Complaints may be transmitted directly via the on-line complaint form available on the Web site. Complaints may also be transmitted by mail or fax. Air Travel Complaints Commissioner Canadian Transportation Agency Ottawa, Ontario K1A 0N9 Fax: (819) 953-5686 Air travellers can call the Canadian Transportation Agency's toll-free number (1-888-222-2592) from Monday to Friday, 8 am to 8 pm Eastern Time. The Agency also has a toll-free TTY line for hearing-impaired persons (1-800-669-5575). THE CANADIAN TRANSPORTATION AGENCY The Canadian Transportation Agency is a quasi-judicial federal tribunal. Its mission is to administer transportation legislation and Government of Canada policies to help achieve an efficient and accessible transportation system by education, consultation and essential regulation. The Agency and Air Transportation The Agency: licences publicly available air services; ensures that Canadian-based air carriers are owned and controlled by Canadians; ensures that new Canadian air carriers have sufficient financial support to operate properly during their start-up phase; ensures that all air carriers operating in the Canadian market have clearly set out their prices, rates, charges and terms and conditions of carriage in a tariff1 available to the public and that they apply their tariffs as published; 1 A "tariff" is a document setting out an air carrier's fares, rates, charges and terms and conditions of carriage, such as limits or restrictions on the weight or size of baggage, compensation for lost, delayed or damaged baggage, compensation for denied boarding (bumping), and the carrier's rules concerning the carriage of persons with disabilities or minors. ensures that foreign carriers offering air service to and from Canada respect the terms of the applicable bilateral air services agreement; and protects air travel consumers by verifying through periodic inspections and targeted investigations that all publicly available air carriers operating in Canada are properly licensed and insured and hold proper documentation issued by Transport Canada indicating that they meet its safety standards. The Agency has the ability to rule on such matters as: passenger fares and cargo rates on routes within Canada served by only one carrier; whether a carrier applied the terms and conditions of carriage as contained in its tariff; whether those terms and conditions are reasonable; and whether a carrier gave proper notice that it planned to discontinue or reduce service within Canada from a community with limited air service. Corrective measures available to the Agency If the Agency finds that a fare, rate or increase of such fare or rate offered on a route within Canada served by only one carrier is unreasonable, then the Agency may disallow the fare, rate or price increase; direct the carrier to reduce the fare, rate or increase; and order the payment of refunds, if practical, to passengers who were found to have been overcharged. If, upon complaint, the Agency finds that a term or condition of carriage in a carrier's tariff is unreasonable or unduly discriminatory, it can prohibit the carrier from applying that term or condition, and it may also substitute a new term or condition in its place. If the Agency finds that a carrier failed to apply its tariff, it can order the carrier to apply its tariff as written and order the carrier to pay compensation to any person for any expense incurred as a result of the carrier's failure to apply its tariff. If the complaint involves a carrier discontinuing or reducing its service to a community without giving proper notice, the Agency can order the carrier to resume service for up to 60 days or it could impose a fine. If the Agency finds that a carrier has imposed an undue obstacle to the mobility of a person with a disability, it may order the carrier to remove the obstacle or direct that compensation be paid for expense incurred by that person out of the undue obstacle, or both. Contacting the Canadian Transportation Agency The Canadian Transportation Agency has dedicated a section of its Web site (www.cta.gc.ca) to inform Canadians of what it can do to assist them. If you wish to obtain more information on the Agency's roles and responsibilities, you can call the following toll-free number: 1-888-222-2592, from Monday to Friday, 8 am to 8 pm Eastern Time. The Agency also has a toll-free TTY line for hearing-impaired persons: 1-800-669-5575.
