Rally in Tel Aviv calls for return of deceased hostage Ran Gvili
Hundreds of people gathered for a second consecutive week at Tel Aviv’s Hostages Square, on Friday (12 December), to support the family of Master Sg...
As EU ministers debate potential changes to air passenger compensation laws, European airlines face a critical choice: cut costs or protect customer trust in an era where disruption is inevitable—and loyalty is everything.
The European Union is poised to make a pivotal decision on the future of air travel as it debates overhauling its passenger compensation rules. With the summer travel season heating up, carriers like Lufthansa, Air France, KLM, Ryanair, EasyJet, British Airways, Iberia, and others face high stakes that could redefine their relationships with millions of passengers.
Currently, EU law entitles travelers to compensation of up to €600 in cases of long delays, cancellations, or denied boarding. But with mounting pressure from airlines over post-pandemic operating costs, proposals are now on the table to reduce payout thresholds or redefine eligibility altogether.
Airlines argue that soaring expenses—from labour shortages and fuel volatility to climate-related disruptions—are rendering the existing system unsustainable. Yet consumer advocates warn that rolling back protections could deal a heavy blow to trust in an industry already grappling with customer dissatisfaction.
According to Tara, co-founder and CEO of airline disruption payment platform Swiipr, “Compensation is about more than regulation—it’s about customer experience and brand building.” She stressed that even if rules change, airlines should continue to lead with empathy, not minimal compliance.
“Nearly half of all travelers say one bad experience is enough to walk away from a brand. And it’s six to seven times more expensive to acquire a new customer than retain an existing one. Airlines must see disruption not just as a cost center but as a loyalty opportunity.”
With tens of millions of passengers affected by flight disruptions each year, the long-term economic loss from eroded loyalty could far outweigh any short-term savings. The reputational risks—amplified by social media and online reviews—are just as real.
Some airlines are already leaning into digital solutions to improve the compensation experience. Automated refund systems, pre-loaded payment cards, and real-time messaging show passengers that they’re supported—even when things go wrong.
These innovations not only ease operational strain but also offer valuable data on disruption trends and customer behavior. More importantly, they reflect a growing shift toward proactive, customer-centric strategies in aviation.
Still, the EU’s regulatory decision looms large. Transport ministers meeting this week will weigh the economic realities of airline operations against the need for robust consumer protection.
Whatever the outcome, experts agree that airlines can’t afford to treat compensation as a checkbox. In today’s competitive landscape, how a company responds to a crisis matters as much as what went wrong.
If airlines choose to minimize payouts without offering alternative forms of support, they risk losing customer loyalty at scale. If, instead, they invest in transparent, empathetic disruption management, they may emerge stronger—both financially and reputationally.
Japan has lifted a tsunami advisory issued after an earthquake with a magnitude of 6.9 hit the country's northeastern region on Friday (12 December), the Japan Meteorological Agency (JMA) said. The JMA had earlier put the earthquake's preliminary magnitude at 6.7.
Iran is preparing to host a multilateral regional meeting next week in a bid to mediate between Afghanistan and Pakistan.
The United States issued new sanctions targeting Venezuela on Thursday, imposing curbs on three nephews of President Nicolas Maduro's wife, as well as six crude oil tankers and shipping companies linked to them, as Washington ramps up pressure on Caracas.
The resignation of Bulgaria's government on Thursday (11 December) puts an end to an increasingly unpopular coalition but is likely to usher in a period of prolonged political instability on the eve of the Black Sea nation's entry into the euro zone.
An extratropical cyclone has caused widespread disruption across Brazil’s São Paulo state, with powerful winds toppling trees and power lines, blocking streets and leaving large parts of the region without electricity.
Britain’s King Charles III said on Friday, 12 December, that his cancer treatment is expected to be reduced in the coming year, using a televised address to urge people across the country to take part in cancer screening programmes, officials confirmed.
Talks aimed at ending the war between Ukraine and Russia are set to continue in Berlin this weekend, with U.S. envoy Steve Witkoff due to meet Ukrainian President Volodymyr Zelenskyy and senior European leaders, a U.S. official said.
Türkiye’s Trade Minister Omer Bolat said Friday that discussions in Washington with U.S. officials have strengthened efforts to expand bilateral trade, moving closer to a $100 billion target.
Lebanon is prepared to demarcate its border with Syria, President Joseph Aoun said on Friday, while noting that the dispute over the Shebaa Farms could be addressed at a later stage.
Greek farmers blocked the Port of Thessaloniki on Friday (12 December) as part of nationwide protests demanding delayed European Union subsidies and compensation for rising production costs and livestock losses.
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