Last week, a statement issued by my office seemed to cause some ripples in the sphere of public debate. In brief, I called for balanced solutions to the economic crisis that has already hit the aviation industry hard.
As a consumer and frequent traveller, I realise that the solutions proposed may not be ideal. However, we are facing an unprecedented global situation, and hard decisions are the name of the game. I will not shy away from proposing them when we need them most.
The ongoing pandemic is forcing us to adapt day by day to the changes occurring to the economy. No sector is being spared, but naturally, due to their nature, the transport and tourism sectors are practically at a standstill.
The statistics are dramatic, and it is evident that both sectors will struggle to return to a healthy economic position.
While economists may look at this situation from the sterile, commercial, point of view, I feel that I am duty-bound and morally obliged to go beyond. The crumbling of two major sectors effectively means that thousands of families will face hardships for months, possibly years, to come.
On the other side of the argument, we are faced with thousands of consumers who have had their flights, vacations, and services cancelled, most of which they had already paid for. In my view, the protection of these individuals is equally essential. There must be no suspension of the rights guaranteed to consumers by European Union law; however, we must explore different ways of guaranteeing those rights, without placing a heavy burden on an already faltering sector. That is why I proposed the exploration of a delay in exercising those rights in the interest of the common good.
Once this pandemic is over, its effects will linger. Our policies must have a long-term perspective, and in this case, I want to ensure that we protect all consumers, all families, and all sectors. I am convinced we can find a solution – but it has to be a coordinated, European-wide way.
This goes beyond aviation. Over the past weeks, I have discussed the same or similar issues with tour operators, the cruise-line industry, hoteliers – they are all facing the same challenges. There’s simply no beating around the bush: each and every one of these businesses, if forced to reimburse consumers immediately, would probably go bankrupt.
Does this mean consumers should be prejudiced? Of course not! In all sectors, the rights of the consumers must be preserved. Yet, the harsh realities of the day make it impossible for them to retrieve what they are owed today immediately, so new solutions must be found.
What I believe is needed in this delicate instance is a common, harmonized EU approach, to avoid harming the same consumers we mostly want to protect and fragmenting the market. The single market is possibly the greatest achievement – are we so shortsighted as to let it crumble? Common remedies to a delay of reimbursement must be put in place in the same way across all affected industries.
Most consumers will grimace at the thought of a voucher instead of a refund. However, a voucher could be more profitable in many ways. A company should, for instance, add a surplus on its original value, or offer extensions on the period of use. An automatic right for full refund at the end of the extended period of use could be put in place, and companies could offer transferability of the voucher and full destination flexibility. The solutions are there – are we ready to adopt them and adapt to our times?