Canadian airline CEOs to face questioning about changes to carry-on luggage fees
Posted December 13, 2024 5:50 am.
The CEOs of Canada’s largest airlines will face questions on Friday regarding recent changes to carry-on baggage fees.
The head officials for Porter Airlines, Air Transat, WestJet, and Air Canada will all be testifying before the transport committee this afternoon to answer questions about their fee systems.
Air Canada sparked backlash earlier this month when it announced that passengers flying on its lowest fare would be charged for carry-on bags and seat selection.
Starting Jan. 3, 2025, basic fare passengers on trips within North America and to sun destinations will have to check duffel bags, rolling suitcases, and large backpacks for a fee—$35 for the first and $50 for the second. Small personal items such as purses or laptop bags will be allowed on board for free, as will strollers, mobility aids, and medical devices.
While Air Canada praised the move as a competitive move to match others in the sector, Canada’s Transport Minister criticized it as disappointing and argued that it would hurt passengers who can least afford additional charges.
An industry group representing the country’s largest airlines blames the government, claiming that red tape, regulations, and fees have increased in recent years, raising the costs of running their companies.
Air Canada took in nearly $2 billion USD in so-called ancillary revenue in 2022, up by almost 50 per cent from five years earlier, according to airline consulting firm IdeaWorksCompany.
The category’s share of total revenue for the company grew to more than 15 per cent from below 11 per cent in the same five-year period.
With files from The Canadian Press