Europe OKs suspension of strict 'use-it or lose-it' slot rules amid coronavirus outbreak
The European Commission has agreed to suspend strict requirements regarding airport slots in the light of the coronavirus outbreak. European Commission Chief Ursula von der Leyen said on Tuesday that the institution agreed that it would suspend the rule that requires airlines to operate a majority of their scheduled flights in order to avoid forfeiting their landing slots.
Currently, European Commission rules state that an airline must operate at least 80% of their allocated slots under normal circumstances. If an airline is found to have not operated the required amount of flights, it risks losing its right to the same slot in the next equivalent season.
However, the Commission will be suspending those rules temporarily.
"The Commission will put forward, very rapidly, legislation," Von der Leyen said on Tuesday. "We want to make it easier for airlines to keep their airport slot even if they do not operate flights in those slots because of the declining traffic."
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Von der Leyen did not specify for how long the "use-it-or-lose-it" rule would be suspended.
Since the effects of the coronavirus have taken their toll on the travel industry, airlines around the globe have been forced to cancel routes and reduce operations in order to minimize losses. Until this point, some airlines had been forced to operate nearly empty flights, referred to as "ghost planes," in order to keep the service in operation and remain complaint with usage requirements attached to valuable slots.
"Passenger demand for air travel has dramatically fallen due to Covid-19 and in some instances we are being forced to fly almost empty planes or lose our valuable slots," said Virgin Atlantic CEO Shai Weiss, according to BBC.
Earlier in March, the International Air Transport Association (IATA) called on global aviation regulators, including the European Commission, to suspend the rules.
Additionally, U.K. Transport Secretary Grant Shapps asked the European Commission to relax its rules on airport slots during the coronavirus outbreak. In the U.K., strict European Commission slot rules apply to London Heathrow, London Gatwick, London Stansted, London Luton, London City and Manchester airports.
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With the European Commission's consensus to suspend the slot-forfeiting rule, airlines won't be forced to continue to operate flights that are nearly empty — a win for the finances of an airline and the environment.
"This temporary measure helps our industry but it also helps our environment," Von der Leyen said. "It will relieve the pressure on aviation industry and in particular on smaller airline companies."
In 2003, regulators relaxed the slot rules during the SARS outbreak as well as in the aftermath of 9/11.
European airports — London Heathrow in particular — are home to some of the most expensive and sought-after slots in the world.
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Why We Chose It
There's a lot to love about the Amex Gold card. It's been a fan favorite during the pandemic because of its fantastic rewards rate on restaurants (that includes takeout and delivery in the U.S.!) and U.S. supermarkets. If you're hitting the skies soon, you'll also earn bonus points on travel. Paired with up to $120 in Uber Cash (for U.S. Uber rides or Uber Eats orders) and up to $120 in annual dining statement credits at eligible partners, there's no reason that the foodie shouldn't add this card to their wallet. Enrollment required.Pros
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- Welcome bonus of 60,000 points after spending $4,000 in the first six months
Cons
- Weak on travel outside of flights and everyday spending bonus categories
- Not as useful for those living outside the U.S.
- Some may have trouble using Uber/food credits
- Few travel perks and protections
- Earn 60,000 Membership Rewards® points after you spend $4,000 on eligible purchases with your new Card within the first 6 months of Card Membership.
- Earn 4X Membership Rewards® Points at Restaurants, plus takeout and delivery in the U.S., and earn 4X Membership Rewards® points at U.S. supermarkets (on up to $25,000 per calendar year in purchases, then 1X).
- Earn 3X Membership Rewards® points on flights booked directly with airlines or on amextravel.com.
- $120 Uber Cash on Gold: Add your Gold Card to your Uber account and each month automatically get $10 in Uber Cash for Uber Eats orders or Uber rides in the U.S., totaling up to $120 per year.
- $120 Dining Credit: Satisfy your cravings and earn up to $10 in statement credits monthly when you pay with the American Express® Gold Card at Grubhub, The Cheesecake Factory, Goldbelly, Wine.com, Milk Bar and select Shake Shack locations. Enrollment required.
- Choose the color that suits your style. Gold or Rose Gold.
- No Foreign Transaction Fees.
- Annual Fee is $250.
- Terms Apply.
- See Rates & Fees