Low airline performance means higher airfares

Low airline performance means higher airfares


Between April and August, airlines had their worst on-time performance ever, despite economy airfares increasing by 56% during the same period.

Demand for air travel is red-hot but the industry is struggling to cope as it rebuilds its workforce and continues to battle staff illness. Pictured is chaos at Sydney airport in July

Demand for air travel is red-hot but the industry is struggling to cope as it rebuilds its workforce and continues to battle staff illness. Pictured is chaos at Sydney airport in July

The ACCC report found flights are being cancelled at more than three times the average

ACCC chair Gina Cass-Gottlieb (pictured) said competition between the airlines was more important now than ever

According to the most recent data on airline competition from the Australian Competition and Consumer Commission, the cheapest economy prices rose significantly from their 11-year low recorded in April.

In the post-lockdown period, air travel is in high demand, but the sector continues to struggle to keep up as it rebuilds its workforce and continues to combat staff illness.

Demand for air travel is at an all-time high, but the industry is straining to keep up as it rebuilds its workforce and continues to combat employee disease. July depicts pandemonium at Sydney’s airport

The ACCC investigation indicated that more than three times the usual number of flights are being canceled.

Additionally, the survey found that flights are being canceled at an alarming rate, three times the long-term average.

Given the warring demands, Gina Cass-Gottlieb, chair of the ACCC, stated that competition between airlines was more crucial than ever.

She stated, “After around 18 months of historically cheap airfares, the price of domestic air travel has risen substantially due to strong demand, temporary capacity reductions, and extremely high jet fuel prices.”

ACCC chair Gina Cass-Gottlieb (pictured) stated that airline competition is more vital than ever.

In August, discount economy tickets reached their highest level in over two years.

Ms. Cass-Gottlieb stated that the ACCC was interacting with airlines to determine the nature of their difficulties.

She stated, “We are aware that for many clients, long-awaited travel fell far short of expectations due to record delays, extremely high cancellation rates, missing luggage, and lengthy wait times at call centers.”

We expect airlines to be forthright and proactive in conveying to passengers the reasons for flight delays or cancellations, how consumer protections apply, and what other compensation they are entitled to.

According to the ACCC report, the 4.7 million domestic passengers who traveled in July represented the highest monthly total since the start of the Covid-19 pandemic.

The ACCC reported that airlines informed it that on-time performance was beginning to improve due to fewer employees being unwell and fewer flights.

The number of domestic passengers who traveled in July, 4,7 million, was the highest monthly total since the beginning of the pandemic, according to a recent report.

Also included is 89 percent of the passenger traffic for July 2019, the busiest month for domestic travel.


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