“Bad practice” of low-cost airlines: Spanish fine for five airlines
Spain has fined five low-cost airlines a total of 179 million euros for bad practices, including charging for hand luggage.
The penalty for each of them was calculated on the basis of the “illegal profit” that each airline made from such practices.
The fines were imposed because the companies were found to have provided misleading information and were not transparent with prices, “hindering consumers’ ability to compare offers, and make informed decisions,” the Ministry of Consumer Rights said.
It is the largest fine imposed by the Ministry, and it followed an investigation into the operations of low-cost airlines and the rejection of their appeals against the fines announced in May.
The ministry announced that it intends to ban additional charges for hand luggage and seat reservations for children.
Ryanair received the largest fine, EUR 108 million, followed by Easy Jet with EUR 29 million, BBC reports.
Vueling, the low-cost branch of British Airways IAG, was fined 39 million euros, and Norwegian and Volotea 1.6 million euros and 1.2 million euros, respectively.
Ryanair was fined for breaching a number of consumer rights, including charging for larger carry-on bags, seat selection, and charging a “disproportionate amount” for printing a boarding pass.
Ryanair chief executive Michael O’Leary said the fines were “illegal” and “unfounded” and would appeal to the EU courts.
“Ryaner has been using baggage fees and airport check-in costs to change passenger behavior for years and those savings are being passed on to consumers in the form of lower fares,” he said.
Easyjet and Norwegian also said they would appeal. Spain’s aviation industry watchdog ALA also plans to appeal, calling the Ministry’s decision “foolish” and saying the fines violate EU free market rules.
Source: Beta
Photo: Pixabay
Source: bizlife.rs
