By Dan Browne on 31 October 2011

After the recent strike action that resulted in Qantas dramatically grounding all of its fleet of aircraft and the subsequent ruling by the Australian Competition and Consumer Commission (ACCC) to permanently end the dispute – Qantas has been requested to offer compensation to the 70,000 passengers affected.

In a statement, it said: "Qantas agrees to, and accepts, the ACCC's request that it compensate passengers for all reasonable losses incurred as a direct result of the grounding.

"Qantas has always intended to ensure that disrupted customers incur no financial loss."

The airline is offering compensation by way of refunds, rebooking’s and paying out for any extra costs incurred by passengers who plans were affected.

As previously advised the airlines are responsible for offering customers alternate flights and/or compensation for additional accommodation so these elements would not be covered under the policy. All policyholders should therefore seek reimbursement of any costs relating to the strike, for example missed departure of missed connections, from Qantas airline.

Qantas and union members had been involved in a dispute over a restructuring plan for the airline Qantas has resumed its flights after an independent tribunal ordered a permanent end to the industrial dispute with its union members.

Qantas said it had received permission from the Civil Aviation Safety Authority (CASA) to resume flights. The move comes after Fair Work Australia issued a ruling, after hearing evidence from the airline, unions and the government. Qantas grounded all Saturday's flights, affecting some 70,000 travellers. "Qantas sincerely regrets the impact on customers of industrial action over recent months and looks forward to a rapid recovery and period of stability." the company said in a statement. "Qantas expects to restore its schedule to normal within 24 to 48 hours." it added. The dispute took a dramatic turn on Saturday when in an unprecedented move, Qantas grounded all international and domestic flights.

Whilst flights have now been resumed, Qantas grounded all flights during the weekend affecting many travellers. The cut off day and time for purchasing policies was Saturday 29th October 2011 10.00am GMT therefore policyholders whose policy was purchased after this date will not be covered under the policy for these strikes for Travel Delay, Abandonment and Missed Departure claims.

Please note that the airlines should make themselves responsible for offering clients alternate flights/compensation for additional accommodation and so these elements would not be covered under the policy.


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