WASHINGTON – JetBlue Airways is being fined US$2 million (RM9 million) for “chronic flight delays,” with half of that amount going to compensate affected passengers, the US Transportation Department announced on Friday, United Press International reported.
The department issued the fine after an investigation into the low-cost carrier’s scheduling practices uncovered “a prohibited unrealistic scheduling practice which can harm both passengers and fair competition across the airline industry.”
The financial penalty marks the first time a US airline has been fined for chronic flight delays.
Airlines are prohibited under law from offering what the department calls unrealistic schedules, which is deemed an anticompetitive practice.
The Transportation Department found that the New York-based airline routinely delayed its flights on at least 145 occasions during the scope of the investigation and that those flights were chronically delayed for a minimum of five consecutive months.
The department rules define chronic delays as any flight arriving more than 30 minutes late more than 50% of the time. The definition applies to flights that are scheduled to fly at least 10 times per month. If the conditions are not met for four or more consecutive months, the airline is deemed to be carrying out unrealistic scheduling.
The agency said on Friday that JetBlue did not heed departmental warnings about delays on the airline’s route between New York City’s John F. Kennedy International Airport and Raleigh-Durham, North Carolina.
JetBlue also chronically delayed flights between Fort Lauderdale, Florida., and New York City, as well as between Windsor Locks, Connecticut. The airline also delayed flights between Orlando and Fort Lauderdale.
The airline has seen a reduction in flights in the United States, Mexico, and South America after a failed merger with rival low-cost carrier Spirit Airlines last March.
Half of the US$2 million fine is being collected by the US Treasury. Some of the remaining US$1 million will be distributed to passengers who were previously affected by JetBlue’s unrealistic scheduling and chronic delays. Part of that amount will be set aside to compensate future JetBlue passengers for any further delays.
Per-passenger compensation must reach a minimum of US$75.
“Illegal chronic flight delays make flying unreliable for travellers. Today’s action puts the airline industry on notice that we expect their flight schedules to reflect reality,” Transportation Secretary Pete Buttigieg said in the department’s statement on Friday.
“The department will enforce the law against airlines with chronic delays or unrealistic scheduling practices in order to protect healthy competition and ensure passengers are treated fairly.” – January 4, 2025