USDOT Drops Airline Compensation Plan Amid Controversy

The Trump administration has decided to withdraw a plan that required airlines to compensate passengers for flight disruptions. The decision, opposed by several Democratic senators, maintains that enforcing such regulations would impose unnecessary burdens on airlines. The USDOT plans to allow airlines to decide compensation independently.

The Trump administration announced its decision to withdraw a contentious plan that would have required airlines to compensate passengers for flight disruptions. The initiative, initially proposed during the Biden administration, had suggested compensations ranging from $200 to $775 depending on the delay duration.

In a statement, the U.S. Department of Transportation (USDOT) explained that enforcing the regulations would create 'unnecessary regulatory burdens,' opting instead to let airlines compete on their compensation offerings. The decision comes despite opposition from 18 Democratic senators, who argued that airlines should help cover unexpected costs imposed on families due to airline errors.

USDOT also revealed its intent to reduce regulatory burdens further, planning to reevaluate rules on flight cancellations and ticket pricing. The initiative received support from major airlines, applauding the administration's move to abandon the Biden-era compensation plan.

(With inputs from agencies.)