The U.S. Transportation Department appears to be getting behind a proposal to require transparency in airline ticket pricing.
Transportation Secretary Ray LaHood is backing the effort and got support this week from consumer and travel groups including the Consumer Travel Alliance, the National Consumers League, and the Business Travel Coalition.
LaHood met with representatives of the groups this week in Washington. The groups, among other things, want mandatory disclosure of all airline fees.
"Airline passengers have rights and should be able to expect fair and reasonable treatment when they fly," LaHood told the groups. "We're proposing to strengthen consumer protections and raise the bar for airlines when it comes to treating passengers fairly. I appreciate the views of consumers and hope they will continue to weigh in on this important issue."
Advertised fares don't include fees
Airlines advertise fares on their websites and other travel booking sites, but the fare does not include fees for baggage or other. Since fees vary from airline to airline, it's not immediately clear to consumers what the actual cost of making the flight will be.
Airlines say the cost to each passenger will differ, depending on how many bags they have, how much they weigh, and what other services they might want. For competitive reasons, airlines also prefer to advertise the lowest possible fare. The consumer groups contend those lower fares are misleading.
"Without fee transparency, it is impossible for air travelers to know the full cost of their flights or compare prices among various airlines, said Charlie Leocha, Director of the Consumer Travel Alliance. Hidden airlines fees have inspired nationwide anger among air travelers, and we commend the Secretary for his efforts to fix the problem."
In a letter to LaHood, the groups said they are not calling for regulation of the amount of the fees. They simply want, they say, for consumers to be able to determine the true cost of the fare.
Hidden fees
"Hidden fees are a violation of a traveler's most basic right: to know how much they will have to pay for their trip, the letter states. When two out of every three air travelers say they have been surprised by hidden fees at the airport, you know the current system is broken and needs to be fixed.
The groups say they want airlines to disclose their fees to every traveler, through every ticketing channel in which they participate, to every point of sale. With the airline world of fees so complex with so many variations on each fee, they contend this is the only way consumers can compare prices on the total cost of travel.
"The airlines have every right to make a fair profit and set fares and fees that allow them to do so, the letter concludes. But they have no right to try to hide those prices from their customers."