RuAviation

Overbooking refers to a situation where the number of airline tickets sold exceeds the actual number of available seats on a flight – a practice known as over-reservation. This strategy for increasing seat occupancy is based on statistics indicating that up to 10-15% of passengers do not show up for their flight, allowing airlines to minimise losses from empty seats. However, when more passengers arrive for a flight than the aircraft can accommodate, airlines are forced to deny boarding to those who checked in last.

According to industry representatives, overbooking allows airlines to optimise flight occupancy and enhance profitability, ultimately making travel more accessible for passengers. However, it is crucial to develop mechanisms that protect passengers’ rights and ensure transparency in cases of denied boarding. Without regulation, the absence of oversight could lead to an increase in conflicts between airlines and passengers.

Currently, there are no clear and transparent compensation mechanisms for passengers who are denied carriage due to overbooking in Russia. Moreover, overbooking is not legislatively prohibited, creating a legal vacuum. Low-cost carriers are the most frequent practitioners of overbooking, and in Russia, this includes “Pobeda”. For this airline, legalising overbooking could present a solution for optimising costs and reducing the loss of trust from passengers.

State Duma Deputy Nadezhda Shkolkina has proposed to explore the introduction of direct compensation for passengers denied carriage due to overbooking. She has sent a corresponding letter to Deputy Prime Minister Vitaly Savelyev, highlighting the unfairness of the current situation, where passengers are forced to go to court to seek redress. In her view, airlines should be held accountable for their actions, including compensating passengers in denied boarding cases, according to TASS.

On the other hand, State Duma Deputy Speaker Vladislav Davankov (New People) has suggested a complete ban on overbooking. In his address to Transport Minister Roman Starovoit, he pointed out the need to amend the Air Code of the Russian Federation to eliminate the possibility of selling tickets beyond the capacity of an aircraft. Davankov believes that banning overbooking will help avoid situations where passengers are left without a flight and without compensation, as well as increase trust in airlines.

Editor-in-Chief of the “Aviation of Russia” website, Andrey Velichko, expressed the opinion that the issue of overbooking remains contentious, as it affects both the interests of airlines and the rights of passengers. “Legalising this practice may help airlines optimise their revenue, but just as importantly, it necessitates the creation of clear mechanisms for passenger protection. In any case, a solution needs to be sought to avoid further increases in passenger dissatisfaction and the loss of image and intensified regulatory pressure on airlines,” he believes.

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