IATA warns! Over 2 million flights were canceled. Repayment of air tickets in the crisis COVID-19.
For more than 3 months we are facing a unique phenomenon in the modern era. Coronavirus pandemic led to the blockage of the Earth. We are with the thoughts and hearts of those fighting in the front line to stop the spread of the new COVID-19.
The governments of many countries have taken drastic measures to combat the pandemic with the new coronavirus. They blocked travel, closed borders, applied urgent social distance measures. The world is experiencing a sharp recession as economic activity slows.
The first industries affected were tourism, aviation and horeca, plus related branches. This can best be seen through holding over 15200 aircraft on the ground and by canceling over 2 million flights. Tens of millions of passengers have interrupted their journeys.
Over 2 million flights were canceled.
An industry, carrying over 4.5 billion passengers annually and over 60 million tons of freight, was stopped. Over 25 million jobs are in danger. Commercial aviation alone has 2.7 million employees, the rest being in the tourism industry and related branches.
These industries operate on financial turnover, not on deposits. Money flows from one industry to another and in all structures. Currently, there is very little cash in the industry. Airlines do their best to find solutions for their customers. But in this unprecedented situation, the mission of the airlines is not easy. And implicitly neither of the travel agencies.
Airlines do their best to stay on the market. Great financial efforts are being made to maintain jobs and to be ready for a quick recovery. In other words, airlines and travel agencies are struggling not to go bankrupt.
Repayment of air tickets in the crisis COVID-19.
IATA warns that at this time it is impossible to return $ 35 billion to passengers for canceled flights. Airlines are facing an imminent depletion of cash, this resource is so important to keep employees and be prepared for the resumption of post-coronavirus activities.
Passengers have the right to ask for their money. They paid for a service that cannot be delivered. And under normal circumstances, repayment would not have been a problem. But these are not normal circumstances. If the airline returns $ 35 billion immediately, many airlines will go bankrupt. In the medium and long term, this would be a global economic disaster.
IATA officials demand that passengers have "patience". Airlines and travel agencies need time. They need government support, they need loans under favorable conditions. They need cash.
Thus, the recommendation to passengers is NOT to request the refund, NOT NOW. But rescheduling trips. Or, vouchers for future trips can be requested. This will give that air mouth needed for tourism and aviation.
I know this is far from ideal. But the alternative is even sadder. Without this flexibility and patience from customers, airlines will collapse and millions of jobs will disappear. Accepting a voucher or late reimbursement will help airlines and travel agencies survive in times of crisis and be prepared for resumption of post-coronavirus activities.