AirAsia faces backlash over delayed pandemic refunds

Prospects say they're nonetheless ready on refunds for flights that had been cancelled or rescheduled throughout the pandemic.

AirAsia planes at airport
AirAsia is going through a buyer backlash over refunds for flights cancelled or rescheduled throughout the pandemic [File: Edgar Su/Reuters]

Kuala Lumpur, Malaysia – Malaysia’s AirAsia is going through a wave of complaints from clients who say they've nonetheless not been refunded for flights that had been cancelled or rescheduled throughout the pandemic.

AirAsia and its subsidiary AirAsia X (AAX), each owned by Capital A Berhad, grounded 1000's of flights in 2020 and 2021 after the Malaysian authorities shut state and worldwide borders to curb the unfold of COVID-19.

However months after the low-cost service resumed flights following the lifting of interstate and worldwide border restrictions for Malaysians in October, a whole lot of consumers have taken to social media to complain of poor customer support and lengthy waits for refunds.

Rohana Betak, 60, stated she requested a refund of 4,000 Malaysian ringgit ($911) after the airline cancelled her flights between Senai and Kota Kinabalu, the capital of Sabah state, following the introduction of a nationwide lockdown in March 2020.

Betak, who deliberate to go to the world round Mount Kinabalu, Southeast Asia’s highest peak, together with her household in October 2021, stated the airline’s automated on-line customer support solely supplied her the choice of travelling on totally different dates. Betak determined towards accepting the supply resulting from uncertainty over when restrictions could be lifted and issues about catching COVID-19. Two years later, she says she continues to be ready for her a reimbursement.

“In my request, I stated it was fantastic to refund me credit for the reserving however as a substitute I used to be reminded in June 2020 that I have to board the flight to Sabah on a distinct date and there could be no refunds,” Betak instructed Al Jazeera.

“It was not useful as a result of as a substitute of providing me at the least credit score in refunds, it instructed me I had no different selection however to journey on totally different dates.”

 Rohana Betak
Rohana Betak, pictured in a pink hat within the again row, says she has been ready two years for a refund from  AirAsia [Courtesy of Rohana Betak]

Journey to Sabah earlier than October 2021 was strictly restricted to sure classes of travellers, together with these travelling for work and people born within the state. Rohana and her household didn't fall beneath any exempted class.

“When it demanded I get on one other flight, I requested in the event that they needed to ship me and my household to our deaths?” Betak stated. “It’s so irritating and I'm so uninterested in attempting to get my a reimbursement so I’ve accepted that I won't get my a reimbursement in any respect.”

Lots of the complaints have been directed in the direction of AVA, AirAsia’s on-line chatbot, which is the one line of communication between clients and the airline for points involving bookings or flights.

Particularly, some have questioned why it's so troublesome to achieve customer support to request a refund, even for flights booked because the lifting of pandemic restrictions.

Buyer Aulia Chaerisa Salleh stated she is ready for a refund for a flight between Batam and Jakarta that was booked earlier this month after she was knowledgeable no seat was accessible.

“I paid for my ticket and it didn't register within the system so I attempted to get my refund for my tickets. I attempted the AVA dwell chat however it's not useful in any respect. It has been days, I haven’t heard from them,” she stated.

Beneath AirAsia’s present refund coverage, the airline gives clients a refund, credit score or a brand new journey date every time a flight is cancelled or postponed.

AirAsia instructed Al Jazeera the airline is engaged in ongoing dialogue with client regulators throughout the area to make sure compliance with all native laws.

“AirAsia Group’s insurance policies are in keeping with many low-cost operators within the journey business worldwide and are absolutely compliant with all regulatory necessities and as a customer-centric airline, we've centered on resolving all buyer queries throughout the pandemic as quickly as attainable,” a spokesperson stated.

The airline group stated it has resolved greater than 90 p.c of refund requests and is dedicated to resolving a small variety of excellent claims as quickly as attainable.

“In Malaysia for instance, our present refund progress is simply left with 0.03 p.c of the refund requests we obtained and we're trying ahead to finishing the refunds train for all excellent queries throughout the subsequent few months,” the spokesperson stated, including that the previous two years had been essentially the most difficult within the historical past of business aviation.

The spokesperson added that “our passengers stay our primary precedence” and the airline will “proceed to boost our providers to ship the perfect when it comes to protected, reasonably priced and dependable air journey”.

‘Drawback little one’

Tan Kok Liang, president of the Malaysian Affiliation of Tour and Journey Brokers (MATTA), stated the refunds backlog is a short-term problem and its 3,100 members will proceed to e book with AirAsia so long as requested by clients.

“The issue little one is AAX and whereas air connectivity is essential for tourism restoration, primarily based on media studies, AirAsia needs to be held extra accountable to all stakeholders,” Tan instructed Al Jazeera.

The hefty compensation paid out to airline co-founders Tony Fernandez and Kamarudin Maranun, who took dwelling near 30 million ringgit ($6.8m) mixed final yr, has additionally raised eyebrows.

Following the discharge of Capital A’s Annual Report 2021 final month, some social media customers vented their frustrations on Fernandez’s private Instagram accounts, with one remark slamming AirAsia as “the one and solely airline that doesn't have a customer support cellphone quantity.”

Regardless of the beneficiant govt compensation, AAX, the group’s long-haul service, was final yr compelled to bear debt restructuring to avoid wasting itself from liquidation after racking up large money owed throughout the pandemic.

In March, AAX introduced it had accomplished its debt restructuring after collectors earlier agreed to a deal beneath which the airline would pay simply 0.5 p.c of excellent debt and terminate present contracts to restructureRM33.65 billion(US$8.1 billion) of liabilities.

Throughout the debt restructuring, the group supplied travellers journey credit in lieu of flights.

The Malaysian Aviation Fee (MAVCOM), nevertheless, urged the airline to reimburse clients for tickets bought whereas threatening to train its powers beneath the Malaysian Aviation Fee Act 2015.

Capital A posted income of 1.7 billion ringgit ($387m) within the 2021 monetary yr, down 47 p.c from the earlier yr, as capability sank to only 36 p.c of 2020 ranges.

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