Airlines and travel websites will have to level with Americans about additional fees charged for baggage, flight changes or cancellations under a new proposed rule set to be announced by President Biden later Monday.
Under the rule, airlines and third-party ticket agents would have to disclose the additional charges when the airfare is initially displayed online, the Department of Transportation said in a statement ahead of the announcement.
“Airline passengers deserve to know the full, true cost of their flights before they buy a ticket,” Transportation Secretary Pete Buttigieg said.
“This new proposed rule would require airlines to be transparent with customers about the fees they charge, which will help travelers make informed decisions and save money.”
The rule will apply to baggage fees, change fees, cancellation fees and family seating fees, the department said.
Flights to, within, and from the United States would be affected by the rule.
The department is also proposing that airlines and ticket agents on travel sites enable travelers with a young child to purchase seats with their fare at “all points of sale” given seat availability and fees can fluctuate frequently.
Airlines will also be responsible for providing current and accurate information regarding the fees to any ticket agents who sell or display their fares.
Biden is set to announce the proposed rule at a White House Competition Council meeting later Monday, according to the department.
The announcement follows the president’s Executive Order on Promoting Competition in the American Economy, which he signed in July of last year and aimed to lower prices for consumers, raise wages for workers and promote competition.
The new proposal comes less than two months after the Transportation Department proposed stricter rules for when airlines would have to compensate passengers for canceled or delayed flights.
Those rules came off the back of mounting complaints after airlines canceled or delayed tens of thousands of flights over the summer as they struggled to ramp up staffing in the wake of the COVID-19 pandemic.
