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ACCC Proposes $250m Fine for Qantas Over ‘Ghost Flights’

The Australian Competition and Consumer Commission (ACCC) has proposed a hefty fine of $250 million for Qantas Airways over alleged breaches of consumer law related to “ghost flights.” These flights, which were operated during the COVID-19 pandemic, have come under scrutiny for potentially misleading consumers and wasting resources.

Ghost flights refer to flights that were operated with little to no passengers on board. During the height of the pandemic, when travel restrictions were in place and demand for air travel plummeted, airlines like Qantas continued to operate flights to maintain their airport slots and other operational requirements. However, these flights often flew with only a handful of passengers or even none at all.

The ACCC alleges that Qantas engaged in misleading conduct by selling tickets for these ghost flights without adequately disclosing the low passenger numbers or the possibility of flight cancellations. This lack of transparency potentially misled consumers who purchased tickets, expecting a regular flight experience, only to find themselves on near-empty planes or facing cancellations.

The proposed $250 million fine is one of the largest penalties ever sought by the ACCC and reflects the seriousness of the alleged breaches. The ACCC argues that Qantas’s conduct not only violated consumer law but also wasted valuable resources, including fuel and emissions, at a time when sustainability and responsible resource management are crucial.

Qantas has defended its actions, stating that it operated these flights to ensure essential services, freight transportation, and repatriation flights could continue during the pandemic. The airline claims that it provided customers with flexibility and options to change their travel plans if they were affected by flight cancellations or low passenger numbers.

However, the ACCC maintains that Qantas failed to adequately inform consumers about the likelihood of ghost flights and their potential impact on their travel plans. The regulator argues that passengers should have been given accurate information upfront, allowing them to make informed decisions about their travel arrangements.

If the proposed fine is imposed, it will serve as a significant deterrent for airlines engaging in similar conduct in the future. The ACCC aims to send a clear message that transparency and consumer protection are paramount, even during challenging times like a global pandemic.

The case against Qantas highlights the importance of consumer rights and the need for airlines to be transparent in their operations. Passengers have the right to know what they are paying for and should not be misled by airlines selling tickets for flights that may not provide the expected experience.

As the aviation industry recovers from the impact of the pandemic, it is crucial for airlines to rebuild trust with consumers. This can be achieved by ensuring transparency in flight operations, providing accurate information about passenger numbers, and offering flexible options for affected customers.

Ultimately, the proposed fine against Qantas serves as a reminder to all airlines that consumer protection laws must be upheld, even in challenging circumstances. It is essential for airlines to prioritize transparency and honesty to maintain the trust and confidence of their customers.

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