DOT Talks About Bumping and Involuntary Compensation
Nov 5, 2007 | 7:43 pm
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DOT Talks About Bumping and Involuntary Compensation
TRAVEL: Airline Bumping More Common In Third Quarter By Laura Mandaro
SAN FRANCISCO (Dow Jones) -- The chances of getting bumped from a flight worsened in the third quarter compared to the same period last year, according to figures released Monday by the Department of Transportation, which is considering raising the maximum amount airlines pay to compensate customers for overbooking flights.
The largest U.S. carriers turned away scheduled passengers at a rate of 0.99 per every 10,000 passengers, said the DOT in its monthly consumer air travel report. That's up from 0.7 in the same period last year. So far this year, involuntarily denied boardings reached a rate of 1.21 per 10,000 passengers, the worst in 13 years.
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Among proposed changes to the 1978 limits, one would increase the $200 compensation limit to $624 and the $400 limit to $1,248 using the increase in the consumer price index over the past three decades.
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More than 1,000 individuals and trade groups submitted comments on the proposal. The DOT is now reviewing the comments, said spokesman Bill Mosley.
Last edited by Ocn Vw 1K; Nov 6, 2007 at 12:04 am Reason: To comply with FT Rules barring republication of the full text of copyrighted material.
