Categories: Business

The consumer sanctions impose $150 million on Ryanair, Vueling, EasyJet and Volotea for abuses such as charging for hand luggage.

Model Ryanair Boeing 737 MAX 8-200. (REUTERS/Stephane Mahe)

Consumption fined four more than 150 million euros low cost airlines to charge passengers for hand luggage or to force the printing of a ticket because Sir Chain. This is the largest consumer sanction ever imposed by the Spanish consumer protection authorities.

The fine was imposed on Ryanair, Volotea, EasyJet and Vueling. The sanction includes four violations that, despite being common in the industry, are now technically prohibited. The sanctioned practices are the following:

  • Fee for carrying hand luggage on board. Some airlines charge a fee for bringing a bag or backpack on board, even if the baggage is not checked. This practice, considered “offensive”, is the main offense for which it is punished.
  • Seat selection fee when traveling with dependents: These airlines provide separate seats for parents and young children and charge an additional fee if the child or dependent is chosen to travel next to an adult. The sanction states that this could cause “harm to vulnerable people” who will be left in a “helpless situation.”
  • Lack of transparency of contract information: The entry notes that often the initially displayed price gradually increases during the purchasing process. These “unfair trade practices” make it difficult to compare offers and make consumer decisions, causing significant economic harm and distorting the positioning of companies in online searches.
  • Ban on cash payments when purchasing tickets at airports: This practice has also been sanctioned.

You may be interested in: CJEU rejects Ryanair’s appeal against Finnair’s $600 million bailout

In addition to these sanctions, Consumer affairs department criticizes Ryanair’s extra practices, which often charges €20 for passengers who print out a paper ticket. It is argued that “requiring disproportionate costs for reprinting a boarding pass is an abuse because it does not correspond to the actual costs incurred by the company and creates an imbalance between the rights and obligations of the parties.”

These procedures of the General Directorate of Consumer Affairs began in 2023 in the analysis of “abuses” condemned by user associations such as FACUA. The proposal for sanctions was then presented to the affected airlines, which filed charges. After them, they receive the first ruling in the case: a fine of 150 million euros.

There are two key points in the file: economic sanction And future ban these practices. Before anticipating events, it is necessary to remember that companies can file a cassation appeal with the ministry and then with the court. Looking into the future, these companies could continue to adhere to this practice. While 150 million may seem like a deterrent, the companies’ profits this fiscal year far exceed the amount of the sanctions:

10 days ago, Ryanair reported a net profit of 1.92 billion euros, its highest ever. Ryanair accumulates most of the sanctions, although they represent only 5% of its profits. EasyJet reported a net profit of $380 million, also a record for the company. Last year, Vueling almost doubled its profits to 396 million. Volotea, after four years of losses, announced that its net profit this year will be positive.

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