Local airlines will no longer be allowed to overbook domestic flights, as well as impose “no refund” and “no rebooking” conditions on promo fares!
MANILA, Philippines (UPDATE) – Local airlines will no longer be allowed to overbook domestic flights, as well as impose “no refund” and “no rebooking” conditions on promo fares starting June 15, according to Civil Aeronautics Board (CAB) executive director Carmelo Arcilla.
However, SEAir president Avelino Zapanta warned the CAB’s restrictions may cause the “demise” of low-cost airlines.
On ANC’s Talk Back with Tina Palma, Arcilla said the CAB issued the resolutions suspending overbooking, as well as non-refundability and non-rebooking of promo fares, in response to a growing number of complaints from budget airline passengers.
“There is a prevalence of complaints and there seems to be a strong public outcry against airlines refusing to carry passengers due to overbooking, as well as issues on non-refundability of low cost fares,” he said.
The CAB resolutions will take effect on June 15, but these are only provisional in nature.
“Just to assure that the public would not be shortchanged, pending the study of the CAB (on the issue), the CAB decided to suspend the option of airlines to overbook their flights. Overbooking is a global practice, a means of hedging against no-shows. This is a ticklish issue since it treads on the right of the airline to generate revenues and public interest,” Arcilla said.
Details of the news: ABS CBN