The International Air Transport Association (IATA) recently began calling on the US government to reconsider and change existing aviation regulations. In a letter to US Secretary of Transportation Sean Duffy, IATA expressed its concern about the regulations introduced by the administrations of Presidents Barack Obama and Joe Biden. In IATA's view, these went far beyond what was necessary and reasonable to protect passengers. The aviation industry's lobby group is now calling for a return to a market economy that is not restricted by extensive government regulations.
In its letter, IATA stated that the administrations of the last two US presidents had engaged in "unwarranted regulatory overreach." It referred to the Airline Deregulation Act (ADA) of 1978, which largely deregulated American air travel and thus promoted competition and innovation. While the administration of President Donald Trump, according to IATA, has strongly advocated a return to these free market principles, the Biden administration, supported by a variety of measures, has increasingly regulated the aviation sector.
The IATA criticizes the fact that the decisions on passenger rights legislation in particular place an excessive burden on the airline industry and restrict competition. A key concern of the IATA is the finding that many of the regulations issued under the last two governments have not taken into account the real needs of the aviation industry. The aim of these regulations, to help passengers, is often associated with high costs and unnecessary bureaucratic hurdles that impair the efficiency of airlines.
Call for changes to passenger rights and fee regulations
A central point of IATA's demands relates to the so-called "junk fees" that were reintroduced by the Biden administration in 2024. IATA is calling for this regulation to be overturned because, in its opinion, it has not only reduced transparency for passengers but also greatly increased operating costs for airlines. IATA argues that in many cases the measures were based on complaints that arose during the COVID-19 pandemic and not on a sound analysis of market conditions.
Another regulatory area in which the IATA is calling for a change concerns the regulations on refunds and refund policies. In particular, the rules requiring airlines to offer transferable travel credits or vouchers that are valid for at least five years are considered by the IATA to be overly burdensome. This regulation dates back to the time of the COVID-19 crisis, when the industry was facing massive challenges. However, the IATA considers this regulation to be no longer up to date, as the exceptional circumstances of the pandemic have now been overcome.
Another controversial issue concerns the "family seating" policy introduced by the Biden administration in 2024. This policy requires airlines to seat families together, even if it entails additional costs or logistical problems. IATA argues that the U.S. Congress has not given the government explicit authority to issue such regulations and that airlines are already striving to meet the needs of families.
Problems with regulations for disabled passengers
The regulations for passengers with disabilities are another point of criticism from IATA. Although IATA strives to ensure safe and respectful travel for passengers with special needs, the industry sees the new requirements as impractical and economically unsustainable. In particular, the requirement that airlines must transport delayed wheelchairs to their destination within 24 hours of landing is often not feasible in practice. IATA highlights that many international airlines only fly to certain destinations once a day or even less frequently, making it impossible to meet the required deadline.
Further demands of the IATA
In its letter to the US Secretary of Transportation, IATA also proposed reconsidering the retirement age for pilots. Currently, pilots must retire at the age of 65. IATA is calling for this age limit to be reviewed in order to open up the job market to qualified pilots and prevent a possible shortage of skilled workers in the aviation industry.
In addition, IATA advocates supporting investments in modernizing the U.S. national aviation system, including improving air traffic control centers and increasing Federal Aviation Administration (FAA) staffing to ensure better management of air traffic.
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