The Trump administration has formally withdrawn a proposal introduced under former President Joe Biden that would have required airlines to compensate passengers for significant flight delays. The U.S. Department of Transportation confirmed the decision Thursday, stating it will not move forward with the Biden-era Advanced Notice of Proposed Rulemaking.
The scrapped plan, announced in December 2023, aimed to mandate compensation ranging from $200 to $300 for delays over three hours and up to $775 for more extensive disruptions. The measure had not yet been implemented and was still under review when the new administration took office.
Airline Industry Welcomes Rollback
The decision to cancel the proposed rule has been welcomed by major U.S. carriers. Airlines for America, which represents American Airlines, Delta Air Lines, and United Airlines, praised the reversal. “We are encouraged by this Department of Transportation reviewing unnecessary and burdensome regulations that exceed its authority and don’t solve issues important to our customers,” the group said in a statement.
Under current federal rules, airlines are only required to compensate passengers for flight cancellations, not delays. The Biden administration’s proposal had aimed to close that gap by making delay-related compensation mandatory for airlines operating in the U.S.
Additional Consumer Protections Under Review
In addition to ending the delay compensation plan, the Trump administration signaled it is reviewing another consumer protection measure. A rule that would require ticket agents to disclose airline service fees up front may also be rescinded, though no final decision has been made.
The rollback reflects the administration’s broader approach to deregulation, especially in transportation. The Department of Transportation did not elaborate on whether a revised version of the delay compensation rule could be proposed in the future.
Criticism of Passenger Rail Projects
Former President Donald Trump has also expressed skepticism about large-scale rail investments, favoring air travel as a more efficient and cost-effective option. In February, Trump criticized California’s high-speed rail project, claiming, “You take an airplane—it costs you $2.” He reiterated that position in June, saying, “It should’ve never been built because you can fly there for $2.”
The decision to cancel the proposed airline compensation rule marks a shift away from Biden-era consumer protection efforts and reflects a pro-business orientation in aviation policy. As of now, passengers in the U.S. remain entitled to compensation only in the event of flight cancellations, not delays.
