Apr 10, 2025, 1:57 PM
Apr 10, 2025, 1:57 PM

Virgin Australia refunds 61,000 customers over flight pricing error

Highlights
  • Virgin Australia has identified that 61,000 passengers were overcharged due to a pricing error occurring from April 21, 2020, to March 31, 2025.
  • The airline has reported the issue to the ACCC and is actively working with them to resolve it.
  • A refund program has been established, where impacted guests will be contacted via email to process their claims.
Story

In Australia, Virgin Australia has committed to refunding a total of 61,000 customers impacted by a significant pricing error that occurred over a span of five years. The airline discovered that from April 21, 2020, until March 31, 2025, certain passengers who made changes to their flight itineraries were incorrectly charged due to flaws in their pricing systems. This revelation came to light during an internal audit, highlighting that approximately 0.1 percent of bookings made during the specified period had discrepancies that did not comply with Virgin Australia's established pricing policies. The airline has publicly acknowledged the error, with a spokesperson stating their commitment to addressing such issues when they arise. After reporting the mistake to the Australian Competition and Consumer Commission (ACCC), Virgin Australia aimed to act responsibly by implementing a refund program for impacted customers. The average amount being reimbursed is approximately AU$55, equating to £26.35 per passenger, which the airline claims represents a fair measure of rectifying the mistake. Customers eligible for refunds will be contacted via email and provided clear instructions on how to proceed with their claims. Deloitte has been engaged to handle the logistics of the refund claim process through an online platform, ensuring a streamlined experience for the affected passengers. Virgin Australia has set a timeline for the refund initiative, lasting up to 12 months. Any funds that remain unclaimed after this period will instead be donated to charity, further emphasizing the airline's intention to act ethically and responsibly in light of their oversight. Additionally, Virgin Australia is taking proactive measures to amend the existing issues within their pricing systems. This involves a comprehensive review of their procedures to safeguard against similar errors occurring in the future. The airline has reiterated its commitment to customer satisfaction and transparency, aiming to restore trust among its passengers after failing to uphold its pricing policies in specific cases.

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