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US senator blasts airlines for viewing guests as 'walking piggy banks'

The head of a U.S. Senate panel roughly slammed increasing airline costs for luggage and seat projects, saying carriers are looking for new methods to extract more money from guests.

Senator Richard Blumenthal, who chairs the Permanent Subcommittee on Investigations, is convening a hearing Wednesday entitled The Sky's the Limitation-- New Revelations About Airline Charges with American Airlines, United Airlines Delta Air Lines, Spirit Airlines and Frontier executives affirming.

Airlines these days see their consumers as bit more than walking piggy banks to be shaken down for each possible penny, Blumenthal stated in prepared remarks.

A report launched by Blumenthal recently divulged the five airline companies jointly made $12.4 billion in revenue from seat costs in between 2018 and 2023.

Blumenthal's panel spent a year investigating, finding carriers are progressively using algorithms to set fees and said some providers might be preventing federal transport excise taxes by labeling some charges as nontaxable charges.

Providers are dealing with customer-specific pricing to. victimize guests, and to raise fares and costs for. consumers the airline believes will pay more, Blumenthal stated.

Airlines say the fees are transparent and they require to offer. consumers choices while they face rising costs.

American Airlines vice chair Stephen Johnson will tell. senators tradition providers require to interest the most. budget-conscious consumers ... The intense competition in the. market needed us to design our item offerings really. intentionally.

Delta executive Peter Carter stated in composed statement the. airline company's objective is to offer options and worth for every single. client ... Cost practices that deteriorate the trust and commitment of. our consumers are not in our best interests.

Blumenthal's committee discovered budget plan providers Frontier and. Spirit paid $26 million to gate agents and others in between 2022. and 2023 to capture travelers not spending for bag fees or having. large items.

Frontier personnel can make $10 for each bag guests must. check at the gate, the report said. Frontier CEO Barry Biffle. defended the practice, informing Reuters passengers who were. attempting to evade paying were shoplifting.

Previously this year, airlines took legal action against to obstruct the U.S. Transportation Department's brand-new guideline on upfront cost disclosure,. while providers in 2018 effectively lobbied versus bipartisan. legislation to mandate affordable and proportional baggage and. modification fees.

(source: Reuters)