Government fines ‘low cost’ airlines 179 million for charging for hand luggage and other ‘extras’
The Ministry of Consumer Affairs imposed a fine of 179 million euros several low-cost airlines, including Ryanair, Vueling and EasyJet, are charging for hand luggage, as well as other methods that the department, led by Pablo Bustindui, says allows these companies to have very competitive prices.
The sanctions were imposed after Consumption opened a case against these companies in August 2023, in addition to charging fees for hand luggage, require payment of an additional fee for the reservation of adjacent seats in the case of minors and dependent persons, for the ban on cash payments at Spanish airports, for the introduction of a tax “disproportionate and offensive” passengers, the ministry said in a statement, by printing out their boarding pass and “misleading omissions of information and lack of clarity” – note follows – in prices published on websites.
Additionally, in the case of Ryanair, it is also being sanctioned for charging what Consumption considers disproportionate amounts for printing a ticket at the terminal when passengers do not have one.
60 percent of the 179 million that total for all violations will have to be paid to the Irish airline, which was fined 107 million euros. They are followed by Catalan Vueling with 39 million; Easyjet – 29 million; Norwegian – 1.6 million and Volotea – 1.1 million.
This decision is the culmination of a process that began in 2023 with the start of an investigation, which was revealed to the media, by the General Directorate of Consumer Affairs. From there, the proposed file was sent to the General Secretariat for Consumer Affairs and Gaming, where the companies concerned could file appeals. As sources in the ministry explained to ABC, the entire procedure was carried out after consultation with the airlines. and giving them the opportunity to present a case for it. Be that as it may, and by direct decision of Minister Pablo Bustinduy through a signed order, a fine was eventually imposed.
The argument put forward by Bustinduy’s agency is that it found what it called “very serious” violations of consumer protection rules contained in the General Consumer and User Protection Law.
Bustinduy “debuts” its ability to impose sanctions
This is a historic sanction because it is the first time that a violation considered “very serious” by the State Consumer Affairs Directorate has been declared final. Although it is not so strange that this is a new product, since the ministry received authorizing powers only in June 2022.
The Airlines Association (ALA) was slow to respond to this final decision, calling the ministry’s decision regarding hand luggage “Nonsense that makes Spain the only country in the EU that wants to ban charging for luggage in the cabin.“Which, in addition to being an unlawful interference and attack on the freedom of the market, constitutes a comparative crime in relation to countries around us where such practices are not prohibited,” the statement said.
Airlines are rebelling and will continue to charge extra fees
Moreover, the ALA assured that the practice of “additional” charges is legal as it is supported by EU Regulation 1008/2008 and announced that The affected airlines will appeal the decision of the Minister of Consumer Affairs to the administrative law jurisdiction. which they consider “clearly illegal, inexplicable and likely to cause serious and irreversible harm to many passengers.”
To make its case, ALA contacted the European Commission, which they explain has on several occasions defended the freedom of airlines to set airfares and questioned the requirement to include free carry-on baggage in the ticket. In this regard, according to employers, in response to a parliamentary question in March 2013, the Commission firmly stated that “charging for hand luggage of any size is permitted.”
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In addition, the employers’ association also stated that they will not change the carry-on baggage policy that has been in place until now, as “it is not viable or reasonable to propose changes to the commercial policy until the courts have ruled on this consumer decision,” it said. in the article. statement. They will not comply even though the sanctions include an outright ban on continuing the sanctioned practice, so expect this case to end up in court.