Foreign airlines to withdraw Zero Commission

Kochi: Mounting protests against ‘zero-airlines’ by travel agents from across the country may soon prompt foreign airlines operating in the country to withdraw the recently introduced zero-commission system and go back to the earlier scenario.
The tussle between travel agents and foreign airlines over zero-commission has been going on for the past two years. The IATA Agents Association of India (IAAI) has already approached the Civil Aviation authorities demanding penal action against the zero-commission airlines for non-compliance of the law. The association has also filed a writ petition before the Kerala High Court demanding that the aviation authorities should strictly enforce and implement its order against zero-commission.
Considering the petition on Wednesday, the court had asked IATA-India, the representative body of the airlines in the country, to submit a written response/affidavit in a week’s time.
The major demand of the airline agents is returning to the earlier scenario as in October 2008, where agents used to get 5 percentage commission, with retrospective effect from March 2010.
The DGCA, in its order in March had directed all airlines, which had gone in for zero-commission, to go back to the earlier commission-based system. However, it had further said that it is for the airlines to decide on the commission to be paid to the agents.
31/07/10 Anil S/ExpressBuzz

To Read the News in full at Source, Click the Headline

Categories: Foreign Jul 2010, Indian Aviation- In General Jul 2010