Feds to outsource passenger complaints process

The federal government says it will outsource the air passenger complaints process to a third party in a bid to clear the massive backlog at the country’s transport regulator.

In Ottawa’s spring economic update Tuesday, the Liberals said they plan to import a model used in Europe that sees independent adjudicators resolve complaints over issues ranging from refunds to accessibility.

The change would mark an end to the current in-house process under the Canadian Transportation Agency, where the backlog sits at a record 97,000 complaints.

The government says the upcoming legislation also aims to simplify the passenger rights charter, three years after Ottawa announced reforms that have yet to take effect.

Earlier this month, Air Canada launched an alternative process to resolve compensation claims in a pilot project that taps an external arbitrator.

Met with skepticism by consumer rights advocates, the moves by both the airline and the government hint at mounting frustration with the existing framework.

This report by The Canadian Press was first published April 29, 2026.

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