The Australian Travel Industry Association (ATIA) has highlighted the substantial economic consequences resulting from domestic flight cancellations, as revealed in a recent research paper commissioned by ATIA.
The study, conducted by former Qantas economist Tony Webber, spans two decades and outlines a consistent trend where airlines cancel flights not solely for operational or weather-related reasons but also for commercial gain, impacting both the travel industry and consumers.
Key findings from the research include:
- Flight Cancellations for Commercial Gain: Airlines have been found to cancel flights not just for operational or weather-related reasons but also to drive profits.
- Impact on Travel Intermediaries: The primary cost for travel intermediaries is the time spent by staff in reorganising trips, which includes rebooking flights, accommodations, and other services. This results in lost opportunities and revenue.
- Effect on Tourism Expenditure: A 5%…