TAAI asks airlines to withdraw Transaction Fee model and revert to agency commissions

In the light of the government asking for a reduction in the amount of Transaction Fee being implemented by airlines, the Travel Agents Association of India (TAAI) held an emergency meeting yesterday in New Delhi and has subsequently announced its decision to scrap the Transaction Fee model and revert back to agency commissions. It has asked airlines to withdraw the Transaction Fee model (introduced from the first of this month) and go back to paying five per cent commission. TAAI has informed its members that they are free to approach the courts or take any necessary action to work towards getting their agency commissions back. Also a decision to boycott Kingfisher Airlines from the first of next month was taken on account of persisting disparity in fares.

According to Rajji Rai, president, TAAI, “During our initial discussions with the airlines, the Transaction Fee model was suggested and formulated by TAAI along with the airlines as a solution to the zero commission regime.” Incidentally,