JetBlue launches retroactive client ‘Bill of Rights’

NEW YORK – JetBlue Airways (Nasdaq: JBLU) today announced a comprehensive customer promise and compensation program called The JetBlue Customer Bill of Rights.

The new program, retroactive to Feb. 14, sets a schedule of compensation for passengers whose flights are canceled at the last minute or are delayed on the ground, even by factors beyond the airline’s control. It includes a pledge to unload passengers when a plane is delayed on the ground for more than five hours.

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The discount carrier already had promised free rebookings to customers affected by the Valentine’s Day snow and ice storm – and subsequent problems at the airline’s hub, John F. Kennedy Airport – that disrupted JetBlue’s schedule for a full week.

Founder and CEO David G. Neeleman today said the storm, which stranded more than 130,000 JetBlue passengers, has already cost the company $20 million – $16 million in travel vouchers, $10 in refunds and $4 million in overtime and other expenses – and the total may rise as high as $30 million.

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“This was a big wake-up call for JetBlue,” he said of the storm and the public outrage after at least five full planes were left sitting on the runway at JFK for more than six hours. “If there’s a silver lining,” he said, “it is the fact that our airline is going to be stronger and even better prepared to serve our customers.”

In addition to unveiling its Customer Bill of Rights, JetBlue today pledged it will form a customer advisory council and take “immediate actions to address inefficiencies in its response plans.”

The airline said it already has revised its plan for communicating with flight crews, to enable faster response to storm delays and other external disruptions; its next steps are to include improving ground communications; expanding jetblue.com; and increasing cross-training of JetBlue staff.

Additional information is available at investor.jetblue.com. “The JetBlue Customer Bill of Rights” is at media.primezone.com/cache/2989/file/3787.pdf.

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