Published on: November 25, 2024, 10:13h.
Last updated on: November 25, 2024, 10:24h.
President Joe Biden’s term as president is coming to an end, but he is determined to eliminate junk and resort fees in the travel and hospitality industries.
Biden describes junk and resort fees as additional charges that are added at the end of the booking process. These fees allow airlines or casino hotels to advertise lower rates than the actual total cost of the booking.
Biden has consistently criticized this practice as deceptive to consumers. As Thanksgiving week, the busiest travel holiday in the US, approaches, Biden affirms that his administration is working to eliminate junk fees from the travel industry.
Travel to see your loved ones this Thanksgiving with the assurance that my Administration is striving to ban airline junk fees, enforce automatic refunds, and ensure that airlines cover hotel and meal expenses for cancellations and delays,” Biden tweeted.
Earlier this year, the US Department of Transportation (DOT) updated its pricing regulations to mandate commercial airlines to disclose all costs and potential add-on fees at the beginning of the booking process for consumers. The US airline industry is challenging this regulation in federal court.
Hotel Comps
Biden’s support for airlines covering hotel and meal costs for ticketed passengers in case of flight cancellations or delays comes amid concerns at Charlotte’s Douglas International Airport. Workers at the airport went on strike as the Thanksgiving travel week began.
Employees at the Charlotte airport walked off the job, impacting travel due to their strike over working conditions. This strike is anticipated to last 24 hours and may affect travel operations during this period.
Most airlines charge for various services, and Biden believes airlines should compensate passengers for any inconvenience caused.
Biden’s stance on abolishing junk fees in the airline industry and compelling them to cover hotel expenses for disrupted itineraries is likely to resonate with the public and could potentially lead to bipartisan legislation in Congress. However, the influential airline lobby has hindered Congress from passing such legislation.
The airline lobby is actively working to defend the industry’s pricing practices following the proposed rule change by the DOT.
Airlines for America argues that requiring airlines to disclose all possible fees upfront might confuse consumers who may believe they need to spend more than they actually would, especially if they have special airline status, do not check bags, or do not need to alter a reservation after booking.
Casino Resort Fees
Similar to airlines, most casino resorts levy an additional fee per guestroom either during or at the end of the online booking process. In Las Vegas, these nightly charges can reach up to $50 before taxes.
For a weekend stay at Caesars Palace, the advertised average nightly rate on Caesars.com increases after adding a resort fee and taxes, significantly raising the total cost of the stay.
The daily resort fee at Caesars Palace includes amenities such as high-speed Wi-Fi, fitness center access, and local calling.