WestJet Says Third Parties Should Share Pax Compensation Costs

Image: WestJet CEO Alexis von Hoensbroech says other industry players should share passenger compensation costs. (Alexis von Hoensbroech)
Image: WestJet CEO Alexis von Hoensbroech says other industry players should share passenger compensation costs. (Alexis von Hoensbroech)
Bruce Parkinson
by Bruce Parkinson
Last updated: 7:31 AM ET, Thu April 13, 2023

WestJet wants the federal government to allow airlines to recover passenger compensation costs from other aviation industry players, if they played a role in causing flight delays or disruptions.

Speaking at a 'state of the airline' event at the Calgary Chamber of Commerce, CEO Alexis von Hoensbroech said airlines are not the only factor impacting the passenger experience.

"There's airports, there's navigation, there's security, there's border control, there's ground handlers," von Hoensbroech said, noting that none of these entities are subject to air passenger protection regulations in the same way as airlines.

"Whatever happens, it's always the airline, and the airline basically becomes the insurance company for the entire industry. If you want an aviation sector that collectively produces a reliable product for our guests, then there has to be some shared accountability."

While not revealing numbers, von Hoensbroech said passenger compensation in the past year "was a significant double-digit millions figure." He warned that an expense at the level will inevitably result in higher fares.

"There is a time lag between these things, but eventually we will have to factor the costs into the ticket price, of course. Because in the end we have to recover all our costs, including compensation."

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