The Australian Competition and Consumer Commission (ACCC) is taking Qantas to the Federal Court after alleging the airline sold tickets to more than 8,000 flights that were cancelled at the time of sale.
The affected flights are said to have been scheduled between May and July 2022. Allegedly, tickets would remain on sale on the Qantas website for an average of two weeks after cancellation, with some staying upwards of 47 days.
The ACCC also alleges that for over 10,000 flights in the same period, existing ticketholders were not notified of flight cancellations for around 18 days, with the longest period of notice being 48 days.
One example given was flight QF486, departing Melbourne for Sydney on 1 May 2022. Qantas cancelled the flight on 18 February 2022, however it continued to sell tickets until 15 March, and did not inform prior ticketholders of the cancellation until 16 March, 26 days afterward.
ACCC Chair Gina Cass-Gotlieb said the proceedings come after a “detailed investigation into Qantas’ flight cancellation practices”.
“Reliable air travel is essential for many consumers in Australia who are seeking to visit loved ones, take holidays, grow their businesses or connect with colleagues,” she said.
“Cancelled flights can result in significant financial, logistical and emotional impacts for consumers.”
However, she reiterated that the ACCC’s issues weren’t with the cancellations themselves, but with their conduct afterward.
“We allege that Qantas made many of these cancellations for reasons that were within its control, such as network optimisation including in response to shifts in consumer demand, route withdrawals or retention of take-off and landing slots at certain airports.”
Treasurer Jim Chalmers says the allegations were “deeply concerning”.
“This is the consumer watchdog doing its job and a reminder that businesses need to do the right thing by people,” he said.
“Breaches of consumer law carry heavy penalties.”
Qantas issued a response late Thursday morning, saying it was taking the allegations seriously.
“We have a longstanding approach to managing cancellations for flights, with a focus on providing customers with rebooking options or refunds. It’s a process that is consistent with common practice at many other airlines,” it said.
“We will examine the details of the ACCC’s allegations and respond to them in full in court.”
The court action is seeking orders including costs, declarations, injunctions, and penalties. A court date is yet to be announced.
Photo: White and red Qantas airplane fly high under blue and white clouds by Pascal Borener is available HERE and is used under a Creative Commons license. This photo has not been modified.